The retail prices of petrol and diesel for the month of August are set under the managed float mechanism as promised by the government with no hidden taxes involved, Second Finance Minister Datuk Johari Abdul Ghani said.
He was responding to claims by opposition MP Mohd Rafizi Ramli that the oil prices are manipulated to enable the government to collect 'hidden taxes'.
Speaking to reporters at a Hari Raya Aidilfitri function organised by Perbadanan Nasional Bhd here today, Johari said the prices of RON95 and RON97 petrol for August were maintained at RM1.75 and RM2.10 a litre respectively while the diesel price was raised by 10 sen to RM1.80 a litre.
Johari said although crude oil prices on the market were quite high in June and July, the government did not raise the retail oil prices for the two months out of concern and consideration for the people.
"As an example, in June there was no price increase, but for July the petrol price should have been raised by 10 to 15 sen a litre and the diesel price by 20 sen, but the government only raised the prices by five sen," he said.
Johari said the government had spent RM482 million in subsidies so as to maintain the retail prices for the two months, which coincided with the fasting month and Hari Raya celebrations for which the people had to spend a lot, including for fuel.
The retail prices for August have only been raised a little, as part of efforts to recoup the costs of the subsidy, as the current condition is quite stable, he added.
Bernama
Wed Aug 03 2016
JOHARI: Although crude oil prices on the market were quite high in June and July, the government did not raise the retail oil prices for the two months out of concern and consideration for the people.
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