GEORGE TOWN: The weekly fuel price float will see RON95 petrol capped at a certain price even if the market price goes up, says Finance Minister Lim Guan Eng.
He said the system, expected to be in place within the first week of the year, was different from the previous administration’s.
“People will be paying less when petrol price drops but when it increases, they need not worry as any increase exceeding RM2.20 will be subsidised by the government,” he said after launching a lift upgrading project at Perumahan Kastam in Bukit Gelugor yesterday.
Lim had earlier said the retail prices of fuel would be unchanged – RON97 (RM2.50), RON95 (RM2.20) and diesel (RM2.18) per litre.
He said new retail prices for petroleum products would be announced after the Cabinet meeting today.
He said the implementation of the weekly price float was delayed because of objections from the Petrol Dealers Association of Malaysia.
He said Prime Minister Tun Dr Mahathir Mohamad would hear them out first before deciding on the prices.
Lim said the weekly price mechanism would be in place until the fleet card system was introduced for B40 Malaysians to buy subsidised RON95 petrol.
On the abolishment of toll for the first and second Penang bridges, Lim said they were taking steps to fulfil the election manifesto.
“With the current financial situation of the country, it will not allow us to carry out more toll abolishment,” he said.
Lim was present at Perumahan Kastam to hand over nine upgraded lifts and three new lifts costing RM998,000.
Perumahan Kastam Residents Association chairman Mohd Faisal Mohd Yusof said they were grateful.
“The lifts had not been repaired or upgraded for the last 15 to 16 years. This really eases the residents’ movements.
“The new lifts will benefit more than 1,000 residents,” he said.