RON97 down by 13 sen, capped at RM2.63/l for two weeks

  • Nation
  • Friday, 31 May 2019

RAM Ratings said the decision to float the price of RON95 based on the Automatic Price Mechanism will lift headline inflation by 0.9 percentage points in 2019.

PETALING JAYA: The fuel price of RON97 will decrease by 13 sen per litre while RON95 and diesel prices remain the same for the week starting Saturday (June 1).

The Finance Ministry said the price of RON97 would go down from RM2.76 per litre to RM2.63 per litre.

Meanwhile, RON95 petrol and diesel prices remain the same at RM2.08 per litre and RM2.18 per litre respectively.

The ministry said the new RON97 petrol prices would take effect from 12.01am on Saturday (June 1) for two weeks until June 14 in conjunction with Hari Raya Aidilfitri.

"After June 14, fuel prices will be determined weekly," the ministry added.

It noted that under the Automatic Pricing Mechanism (APM) formula, RON95 and diesel should have been RM2.33 per litre and RM2.40 per litre respectively.

"However, the prices of RON95 and diesel for the period are capped at RM2.08 and RM2.18 per litre respectively following a Cabinet decision to stabilise fuel prices and to reduce the people's financial burden," it said in a statement on Friday (May 31).

It added that the government needs to spend an estimated RM165.27mil between June 1 and June 14 to subsidise both RON95 and diesel prices.

The weekly fuel pricing mechanism was reintroduced on Jan 5 under the APM.

Under this system, weekly fuel prices are announced every Friday and remain in force for one week.


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