KUALA LUMPUR – November 1, 2016: Malaysians may enjoy cheaper fuel prices next month if global crude oil prices continue to slump this month.
This is simply because the country’s monthly fuel prices is formulated based on the previous month’s average global crude oil prices.
So if crude oil prices continue to drop this month, the new pump prices will be reflected next month.
“The global crude oil price was relatively high last month, so it is reflected in this month’s (pump) prices,” Second Finance Minister Datuk Johari Abdul Ghani told The Mole today.
Johari made the explanation following grouses in social media which said that this month’s fuel prices, up by 15 cents effective today, are high and not based on the latest global crude price.
The retail prices of petrol and diesel were each increased to RM1.95 for RON95, RM2.30 for RON 97 and RM1.90 for diesel per litre.
Despite the hike, the government is still subsidising five cents per litre so as not to burden the people.
Aside from Malaysia, Indonesia, the Philippines, Thailand, Vietnam and Qatar are among the countries that have increased pump prices also from this month.