Najib: Why sideline Caltex and BHP?

PETALING JAYA: After news emerged that Petron had been appointed a fuel supplier for government vehicles, former prime minister Datuk Seri Najib Tun Razak claims that the income of Petronas, a state-owned company that belongs to the rakyat, is being "disturbed".

In a statement on his official Facebook page on Friday (Aug 31), Najib asked why this was being done by the government.  

“Petronas has stations in nearly every area in Malaysia. Together with Shell, it is certain to be a sufficient combination for Malaysian government vehicles,” he said. 

“If the reason is touted as convenience, why sideline Caltex and BHP when they have almost the same number of stations as Petron?” he queried. 

Najib's statement came after a letter of appointment by the government went viral, fuelling questions of possible nepotism as Prime Minister Tun Dr Mahathir Mohamad's son Mirzan is a director in Petron Corporation which owns Petron Malaysia.

Mirzan has reportedly been a director of the Filipino-based company since 2010.

The letter stated that Petron Fuel International Bhd (Petron) had been appointed a fuel provider for government vehicles through indent cards.

It added that it hoped the appointment of Petron would provide “a better choice and alternative” to existing fuel providers.

Some asked on social media if Petron had been made the sole supplier.

The Finance Ministry has since clarified that Petron is not the sole supplier of petrol and diesel for federal government vehicles.

It said in a statement Thursday that Petronas and Shell remained as suppliers for petrol and diesel for federal government vehicles.

"The appointment was made via an administrative measure as it relates to operational matters and does not involve any financial implications to the government.

"With this approval, the government obtains more choices between Petronas, Shell and Petron, and this will open more opportunities and healthy competition among petrol and diesel suppliers," the statement said.

The Ministry said that the government does not limit the number of suppliers, adding that other suppliers who are capable and have a wide network of stations throughout the country can also apply.