PETALING JAYA: The government's diesel subsidy rationalisation is an attempt to mask its inability to plug leakages that have cost government coffers RM4.5mil daily, says a top PAS leader.
PAS deputy president Datuk Seri Tuan Ibrahim Tuan Man said instead of removing the diesel subsidy at petrol stations and allowing the price to rise drastically, the government should have looked at ways to stem the leakage.
"PAS believes the main reason for removing the diesel subsidies was the government's failure to address diesel leakages, which have cost the government RM4.5mil daily, as announced by the Finance Minister II.
"The people are hoping for effective solutions to overcome the leakages. The government should be finding ways to plug the leakage, not resorting to increasing diesel prices, which will in turn lead to a rise in the cost of living and market prices of products and services. This is a burden on the rakyat, who are already facing financial difficulties.
"Are the diesel leakages only happening in Peninsular Malaysia, as diesel prices in Sabah and Sarawak are not being floated?" asked Tuan Ibrahim.
On June 9, Finance Minister II Datuk Seri Amir Hamzah Azizan announced that diesel prices would be floated and retail at RM3.35 per litre in the peninsula starting on June 10.
The Finance Minister II said the price was based on the Automatic Pricing Mechanism formula for the month of May.
The previous price of diesel announced on June 5 was RM2.15 per litre, which will be maintained for Sabah, Sarawak, and Labuan.
"We want to curb leakages that have resulted in losses for the people and the country. We have suffered huge losses yearly, and that can impede the country's economy," he said at a press conference on Sunday (June 9).
