Home FOMCA in the News 2010 News New Straits Times - MYKAD PLAN TO BUY PETROL LIKELY TO BE DROPPED
New Straits Times - MYKAD PLAN TO BUY PETROL LIKELY TO BE DROPPED PDF Print E-mail
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Friday, 26 February 2010 01:40
KUALA LUMPUR: The government may drop the proposal to use MyKad to buy petrol at a subsidised price. In its place are two proposals-to limit the quantity of subsidised fuel sold each month to a car and the sale of fuel according to a vehicle’s engine capacity. Deputy Domestic Tr a d e , Cooperatives and Consumerism Minister Datuk Tan Lian Hoe said there were mounting objections to the MyKad proposal, which was to be introduced on May 1.

This was mainly due to the hassle consumers may face. It is also understood that petrol dealers had rejected the MyKad system as they would have to incur additional costs to implement it at their kiosks. “Most do not want to use MyKad. Some consumers say it is ridiculous to use this system. Some parents say they own two or three cars and their children might not be able to refuel for them,” Tan said. She said the industry had given its feedback to the ministry. “We will consider all their views to avoid any hoo-ha later.”

On speculation that the government might hike fuel prices by 10 sen, Tan said a decision would be made soon.

She said the government was also studying other proposals for a new subsidy system. At present, RON95 petrol is sold at RM1.80, RON97 at RM2.05 and diesel at RM1.70 a litre. The MyKad system was reported to be able to save the government RM2 billion a year. There were also suggestions to remove the subsidy and instead give cash handouts of RM600 a year to car owners when they renewed their road tax.