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Home»Automobile»Targeted diesel subsidy doesn’t affect Perodua – CEO
Automobile

Targeted diesel subsidy doesn’t affect Perodua – CEO

Danny TanBy Danny TanJune 10, 2024No Comments2 Mins Read
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Targeted diesel subsidy doesn’t affect Perodua – CEO
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Yesterday, the federal government kicked off its fuel subsidy rationalisation programme by proclaiming that diesel prices in Peninsular Malaysia will probably be floated, and can retail at RM3.35 per litre ranging from today, June 10.

Because of this the worth of Euro 5 B10 and B20 diesel in Pen Malaysia is now RM1.20 (or 56%) greater than the previous capped price of RM2.15, which has been in place since February 2021. While not mentioned within the press statement, the worth of Euro 5 B7 – which before this costs 20 sen per litre more – ought to be adjusted to RM3.55 per litre.

Subsidy is maintained for certain sectors. Subsidised Diesel Control System (SKDS) 2.0 provides fleet cards to eligible logistics vehicles to mitigate the impact of the diesel price on consumer goods prices and is ready at RM2.15 per litre. SKDS 1.0 is for land public transport, including school buses, express buses, ambulances and fire engines – the worth is RM1.88 per litre. Subsidised diesel for fishermen is maintained at RM1.65 per litre.

Targeted diesel subsidy doesn’t affect Perodua – CEO

As such, in theory, the dreaded increase in consumer goods prices shouldn’t materialise, as industrial vehicles under the logistics sector proceed to pay RM2.15 per litre for diesel. When asked concerning the impact of targeted diesel subsidy on Perodua, president and CEO Datuk Seri Zainal Abidin Ahmad affirmed that there will probably be no increase in cost for the carmaker.

“No, not much, because as mentioned by the minister, for giant corporations, mostly our carriers use diesel and so they still enjoy (the subsidy, via fleet card), so we’ll not be affected. If any also, it’ll be very small and we is not going to pass (it down) to the client, definitely,” he said at today’s MoU signing between Perodua and Malaysia Rail Link for Perodua to make use of the East Coast Rail Link (ECRL) for freight transportation services.

So, we cannot make sure if the costs of beef, bayam and roti canai will probably be maintained, but what’s confirmed is that Perodua – which sells 4 of each 10 cars in Malaysia – is not going to increase prices.

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This Article First Appeared At paultan.org

affect CEO Diesel doesnt Perodua subsidy targeted
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