KUCHING: The price of RON95 will be capped at RM2.08 per litre for Sarawakians after the targeted subsidy scheme takes effect in Peninsular Malaysia from Jan 1 next year, said Deputy Domestic Trade and Consumer Affairs Minister Chong Chieng Jen.
“It is capped for everyone in Sarawak. That means all car owners in Sarawak enjoy the petrol subsidy like it is now,” he said when contacted by The Borneo Post here today.
Pointing out that the price of RON95 will not be floated like what is to happen in Peninsular Malaysia, Chong reiterated: “Subsidy is given through the capping system for all Sarawakians.”
“Once the targeted subsidy system starts in January next year, RON95 price in Sarawak will be lower than that in Peninsular Malaysia. This is a special consideration for Sarawak and Sabah.
“For the first time, there is something in Sarawak and Sabah which is cheaper than Peninsular Malaysia. This never happened before during BN’s (Barisan Nasional) time,” said the Stampin MP.
He said the targeted subsidy system is introduced because it will have a huge savings for government in terms of subsidy borne by the government.
According to him, the federal government has to introduce this targeted subsidy system to replace the current general subsidy system due to the dire state of the financial position caused by the previous government’s ‘corruption and misappropriation of fund’.
“However, in light of the special position of Sabah and Sarawak in Malaysia, special consideration and preferential treatment is given.
“Labuan is treated in this case as the same as Sabah, because of the obvious geographical position of Labuan,” added Chong.
To a question, he said the policy on diesel will be announced by the Ministry of Finance (MoF) later.
“On diesel, please wait for MoF to announce.”
At a press conference in Putrajaya earlier, Minister of Domestic Trade and Consumer Affairs Datuk Seri Saifuddin Nasution Ismail announced that the new subsidy scheme will float the price of RON95 and see eligible recipients receiving between RM48 (motorcycle owners) and RM120 (car owners) every four months.
It will only be given to eligible motorcycle and car owners who are also recipients of the Bantuan Sara Hidup (BSH).
According to the minister, a total of 2.8 million people will benefit from the subsidy scheme, which will cost the government about RM65.4 million a month.