RON95 price cap to remain for now despite Saudi oil plant attacks - Lim
Finance Minister Lim Guan Eng has reassured that the price cap for RON95 fuel will not be increased from RM2.08 per litre for now, in the aftermath of the attacks on two Saudi Arabia oil plants.
"For the time being, yes, but we will look at other factors...
Finance Minister Lim Guan Eng has reassured that the price cap for RON95 fuel will not be increased from RM2.08 per litre for now, in the aftermath of the attacks on two Saudi Arabia oil plants.
"For the time being, yes, but we will look at other factors.
"The consideration should be made based on more solid assessment for the long term, and not a spontaneous reaction or within one or two hours.
"Give us some time to make the appropriate arrangements and calculations," Lim said to reporters after attending a briefing on the Special Voluntary Disclosure Programme (SDVP) organised by the Inland Revenue Board (IRB) in Damansara Perdana, Petaling Jaya, today.
He was responding to a question on whether the RON95 fuel prices will still be capped at RM2.08, as announced in February this year.
This comes after the attacks on two plants at the heart of Saudi Arabia's oil industry last Saturday, which knocked out more than half the country's output or more than five percent of global oil supply.
Yemen's Iran-aligned Houthi group has claimed responsibility for the attack, which is expected to send oil prices soaring and increase tensions in the Middle East.
Lim said the attacks will definitely have an effect, not only on Petronas but also for regular consumers.
"Of course, for Petronas, if we look in terms of income, it will increase but for the country and regular consumers, it will have an effect in terms of the subsidies we pay.
"Of course, it will go up," he said.
However, Lim insisted that the government needs more time to examine the matter more thoroughly being making any decision.
"We need to examine more in-depth whether this (the spike in oil prices) is spontaneous due to what happened two days ago or if this will go on in the long term.
"So, let us make a more organised and detailed examination because I do not want to react based on developments within the last two or three hours or even one day," Lim said.
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