Effective midnight today, our petrol prices have offically gone up from RM1.92 per liter to RM2.70 per liter.
A few days back, Second Finance Minister Tan Sri Nor Mohamed Yakcop and Domestic Trade and Consumer Affairs Minister Dato’ Shahrir Samad announced that oil prices will go up in August. But soon, Prime Minister Datuk Seri Abdullah Ahmad Badawi announced that the new mechanism will be announced on Wednesday.
An inside source told me that several senior people in government were aghast at how the PM contradicted his ministers, when he was briefed that a new mechanism can only be implemented in August.
Late yesterday it was announced that for the prices would be increased to RM2.70 for now, and it would be reviewed on a month-by-month basis.
TNB tariffs would also go up.
In the evening, another friend in government texted me saying how chaotic things are at the centre: “The PM and co has lost the plot. The country is in havoc lah this is nonsense it shouldnt have been so sudden”.
Some pertinent questions to ask the government:
1. Yes, why was it so sudden? Even if the government had no choice but to increase the price, why didn’t the government stick to the August schedule? As Shahrir Samad mentioned, a full mechanism that would include rebates for the poor (not token road tax rebates for owners of small vehicles) need proper planning to be implemented, and that would brace the consumers to adjust themselves to the new price
2. Why was there no commitment towards improving our public transport? Previously when the government increased the petrol prices, they then announced a RM10 billion fund for extending the public transport system in Klang Valley by 2010. Now the plan is awfully quiet, and the government has further reduced subsidies for government-owned RapidKL. At the very least, the government should invest more in public transport to provide Malaysians with a real alternative to ease their burden
3. Why are Independent Power Producers shielded from the price hike and continue to get subsidised gas from Petronas? They benefitted from RM26.7 billion in subsidies since 1997, and with the increase in TNB tariff, it makes no sense to justify the IPP continue to get their gas at the same old price!
As Jeff Ooi, I agree that Malik Imtiaz’s recent Malay Mail column makes a powerful point in light of all this.


Apalah yg depa lembab sgt. Tak kesian kt rakyat langsung. At least naik la slow2.
June 5th, 2008 at 11:32 amsemua terkejut. ingatkan jadi ogos ni, as said by sharir b4.
June 5th, 2008 at 12:00 pm[...] The Government’s Confusion in the Oil Price Hike [...]
June 5th, 2008 at 1:53 pmHarap harap saudara tidak mudah ‘dikacau’ Muhd Taib dan ahli JKKK.
Dari Malaysiakini : http://malaysiakini.com/news/83986
Saya percaya saudara bersemangat waja!
Teruskan perjuangan.
June 5th, 2008 at 6:08 pmapa kata MP mulakan kempen guna public transport?
June 6th, 2008 at 11:10 amJom buat tuntutan perlaksanaan Kupon Subsidi Makanan
June 6th, 2008 at 11:35 amhttp://sebolku.blogspot.com/2008/06/hanya-138-bilion-sahaja-untuk-kupon.html
It`s time now, protes!
June 8th, 2008 at 9:36 amhttp://muxisme.blogspot.com/
[...] “Hal-hal naik barang ni bukan boleh dibuat gurauan bodoh!“ [...]
June 8th, 2008 at 7:36 pmThe rise was too drastic. They should have taken a gradual approach so that people can adjust their lifestyle accordingly. Also, chain reaction will cause the price of goods to rise, making it difficult especially for lower income group. I was wondering whether the decision to increase the petrol price and provide a parallel rebate debated was in the parliament? Did everyone have a say in this before it was approved and implemented?
June 9th, 2008 at 5:50 pmadik nik,
June 16th, 2008 at 7:46 pmno wonder ur dad told me and other friends, in the PTD service especially, that pak lah was a good officer but he won’t make a good political leader, let alone as our pm. ur dad will surely say “i told u so” the next time i bump into him.
i am exceedingly happy that we have young men like u making big sacrifices for the nation and i have given my blessings to my son when told that he is now ketua amk somewhere in kl.