PADANG BESAR: The Domestic Trade and Cost of Living Ministry has suggested the expansion of unsubsidised petrol and diesel stations to all border states.
Minister Datuk Seri Salahuddin Ayub said he would raise the proposal at the Cabinet meeting this Friday (Feb 17).
"This pilot project of supplying (unsubsidised) RON95 petrol and diesel in Perlis is the ministry’s initiative to overcome the issue of leakage of subsidised fuel which is often smuggled into neighbouring countries.
"We suggest that more (unsubsidised) fuel stations will be opened at border states, namely Kedah, Kelantan, Johor, Sabah and Sarawak," he told reporters after launching the pilot project here on Wednesday (Feb 15).
Salahuddin said that previously the government suffered a loss of almost RM150mil a year due to the leakage.
Even though the prices of RON95 petrol and diesel are floated, Salahuddin said they were still low compared to neighbouring countries and at the same time local petrol station operators still made a profit.
He said the ministry welcomes fuel suppliers who are interested in opening unsubsidised petrol and diesel stations and will help in terms of obtaining licences.
Earlier, Salahuddin handed over 50 Rahmah baskets to the underprivileged in Perlis.- Bernama
