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880) THE STAR 4/9/13-Fuel price hike: 20 sen increase will burden the people, say groups
04 Sep 2013

Various groups have slammed the government’s decision to increase the price of
RON 95 petrol and diesel by 20 sen, saying the move would effect the
lower-income groups.
Fomca president
Datuk Marimuthu Nadeson said the government should be improving public
transport nationwide if it wanted to hike fuel prices, adding that this would
result in a chain reaction.
Prime Minister Datuk
Seri Najib Tun Razak earlier announced that the price for RON95 petrol and
diesel would be raised by 20 sen per litre from midnight.
Chief activist of
the Muslim Consumers Association (PPIM), Datuk Nazim Johan, said although the
increase was inevitable, the government should plug the leakages in the system
before placing the burden on consumers.
“Now, even
millionaires with 30 cars in their garage get subsidies,” he said, adding that
those who wanted the subsidies should apply for them.
He suggested a
system similar to the Welfare Department which gives allowances to those in
secretary-general S. Arutchelvan said the government had gone against its word
of not increasing the price of RON95 petrol.
“This increase will
cause further hardship to the people especially the lower-income group,” he
said pointing out that the minimum wage had not been properly implemented.
He believed that the
government would implement the Goods and Services Tax (GST) soon, causing more
Bayan Baru MP Sim
Tze Tzin said he expected that inflation would creep in over the coming months.
He said that the
relationship between oil prices and inflation was prevalent in economies such
as Malaysia.

“The people rely
heavily on subsidies, especially fuel subsidies,” he said, adding that the
government should have informed the people in advance of the price hike.