Published: Monday September 2, 2013 MYT 9:02:00 PM
Updated: Monday September 2, 2013 MYT 10:18:38 PM
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| Motorists wait for their turn to fill up their tanks at a petrol station in Kajang. |
PETALING JAYA: 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 need.
PSM 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 inflation.
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.
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