ACCCIM urges govt to adopt transparent managed float system for fuel

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KUALA LUMPUR: The Associated Chinese Chambers of Commerce and Industry of Malaysia’s (ACCCIM) has urged the government to adopt a clear and transparent managed float system for RON95 and diesel.

President Datuk Lim Kok Cheong said the system should include publicising the calculation mechanism of fuel prices and its mode of adjustment, as well as the contingency measures to be taken by the government in the future, if global crude oil prices go up.

“This is to ensure that the implementation of the subsidy rationalisation  programme and government’s fiscal conditions are on the right track,” he added, in welcoming the initiative by the government.

Lim said in a statement that it was the right time to remove fuel subsidies and the move would allow government to strike a balance in the interest of the people and reduce the country’s deficit.

On another note, he urged the government to review the import taxes and excise duties on vehicles, spare parts of commercial trucks, tyres, batteries, and implement an open and liberalised economic mechanism.

In addition, the government, he said, should introduce a toll rebate scheme for frequent users of highways and lower the road tax to minimise the domino effects, resulted from the subsidy rationalisation programme.

“The public transportation system has yet to be improved and most citizens have no alternative, but compelled to buy and use private cars.

“The cost of operating cars is compounded by traffic congestion which increases fuel consumption,” Lim added. — Bernama