‘Govt to come up with revised price system soon’


Smooth operation: Armizan (in light blue) looking on as a Line Clear Express Sdn Bhd staff (front) pumps petrol into his vehicle using a fleet card at the PETRONAS station in Cyberjaya. — Bernama

CYBERJAYA: The government will announce a revised rate for the Automatic Pricing Mechanism (APM) soon to ensure the continued viability of petrol stations following the implementation of the targeted RON95 petrol subsidy.

Minister of Domestic Trade and Cost of Living Datuk Armizan Mohd Ali said a proposal to review the rate has been submitted to the Finance Ministry (MOF), following engagement sessions with petroleum companies and petrol station associations.

“The MOF has committed that, as an initial step, the priority is a review of the APM rate. The implementation of the Subsidised Diesel Control Scheme (SKDS) took considerable time.

“We are aiming to execute the Subsidised Petrol Control Scheme (SKPS) as soon as possible, ideally within a month of the targeted subsidy’s launch,” he told the media after presenting Fleet Cards at a petrol station here yesterday, Bernama reported.

Armizan said the government is satisfied with the close cooperation of oil companies and petrol station operators in ensuring the smooth implementation of the targeted RON95 petrol subsidy, adding that some minor issues were resolved promptly.

“The government had previously committed to reviewing the APM rate and addressing other long-standing industry concerns,” he said, emphasising that the review is crucial as it directly responds to persistent appeals for operational costs and profit margins to be factored into the mechanism.

In a separate matter, Armizan asserted that the ministry  will take stern action against public transport companies that instruct their employees to use their identification cards to purchase subsidised fuel at the public rate of RM1.99 per litre.

“The RM1.99 subsidy is intended for individual citizens. Companies should not exploit this system, as they already receive a subsidised rate of RM2.05, which is already significantly below the market price,” he said.

Recently, allegations surfaced on social media that a company had instructed its employees to use their personal identification cards to purchase fuel under the Budi95 subsidised scheme at RM1.99 per litre. 

According to widely circulated messages, employees were reportedly asked to use their individual monthly fuel quotas for company-related travel and were allegedly advised to use their family members’ identification cards once their personal 300-litre monthly quota was exhausted.

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KPDN , MOF , Armizan Mohd Ali , APM , RON95 , targeted subsidy , BUDI95

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