The government's recent proposal to increase the price of diesel and petrol has raised concerns in Sabah especially when the quality among such service providers had deteriorated, said a Sabah member of Parliament today.

Joseph Pairin Kitingan (PBS - Keningau) said the people of Sabah wanted to know the reason for the price hike when they had to serve themselves at the petrol kiosks.

"Many workers also had to be retrenched as a result of this move. We hope the government will continue to monitor the situation," said Pairin when debating the 2002 Budget.

He said the people were concerned about the difference in prices in Kota Kinabalu and Keningau.

According to the MP the price of petrol and diesel were RM1.18 and RM0.704 respectively in Kota Kinabalu whereas in Keningau, it was RM1.24 for petrol and RM0.79 for diesel.

With the new budget, he said, the price of petrol would be increased to RM1.28 (8.48 percent) and RM0.804 (14.2 percent) for diesel in Kota Kinabalu.

In Keningau, the price of petrol will see an increase of 8.7 percent to RM1.34, and 12.66 percent in diesel to RM0.89.

"We are hoping the price increase will not be more than 8 percent, even for diesel as many Sabahans use diesel instead of petrol," said Pairin.

Pairin said the price hike will also result in an inflation as business people would take the opportunity to charge more for their services.

"If this happens, then civil servants will not be able to enjoy the 10 percent pay rise or half month's bonus.

"Their purchasing power would not be as effective due to over profiteering by irresponsible business people," he added.

Uncompleted projects

Meanwhile, a Barisan Nasional MP criticised the government for uncompleted projects - roads, water supply and electricity - in rural areas.

Ronald Kiandee (BN - Beluran) said the budget for these projects were approved in February but the projects are yet to be completed..

"There are only two months more to go before the end of the year. Can they complete the projects? Maybe we should have a two-year budget system," he said.

Ronald said the government should check the profits enjoyed by businessmen and compare it with the needs of the target group, who should be the one enjoying such public programmes.

The profits enjoyed by businessmen have to be minimised so that the government's goal of wanting to help the community can be achieved, he added.