Pump prices even cheaper in February

By THE STAR | 31 January 2015


PETALING JAYA: The Government announced cheaper retail petrol prices with effect from Feb 1.

The new price per litre for RON95 is RM1.70 (from RM1.91), RON97 at RM2 (RM2.11) and diesel at RM1.70 (RM1.93).

This follows the Domestic Trade, Cooperatives and Consumerism Ministry's decision to set the market price of Ron 95 and diesel based on a managed float, starting Dec 1, last year.

It warned oil companies and petrol station operators that strict action would be taken against parties that fail to comply with the new prices.

While consumers are elated with the cheaper fuel prices, petrol dealers are complaining of losses.

Earlier this month, petrol dealers bemoaned that many stations may have to close down should fuel prices drop further, citing high losses.

Petrol Dealers Association of Malaysia president Datuk Hashim Othman said the fuel price drop had led to dealers incurring losses of between RM20,000 and RM100,000 each.

“If the drop was only a few sen, we could absorb the losses. But now with the 35 sen drop (for petrol), we’re buying it high and selling it low.

“If this carries on, many of us will have to close down,” he added.

But their complaints did not go down well with the public, with one person retorting: “when the prices went up, we did not hear you complain.”

Another reminded the dealers that they had made quick profits when the rates were raised many times previously from selling stocked fuel, so now they should just tightened their belts and find other means to stem losses such as by reducing their costs.

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