By Yussof J. Imbang
TONGOD: Sedco Group Chairman Datuk Masiung Banah did not rule out the possibility that fuel prices will be standardised across the country if the conflict in West Asia continues to escalate.
According to him, the approach of maintaining oil subsidies as a whole is no longer a sustainable option given that the government’s financial capacity has certain limits.
The Kuamut People’s Representative was met by the media after simultaneously officiating the Thanksgiving ceremony for the last general election (PRN-17) and the Aidilfitri ceremony at Kampung Kuala Keramuak here yesterday.
If the global economic crisis lasts and the war between Iran and America/Israel becomes more tense, then it is not surprising that petroleum prices in Sabah, Sarawak and the Peninsula will be standardised.
“The increase in world oil prices will certainly lead to an increase in the price of daily necessities, especially imported goods,” he stressed.
Masiung said that oil subsidies for the people of Borneo will be frozen if the government’s financial situation becomes more limited.
He reminded the people in Sabah to be prepared for the increase in the cost of living due to the uncertainty of the global economy, because that situation cannot be avoided.
He said all levels of society, especially in Sabah, should change their prudent lifestyle and adopt frugal spending habits.
Masiung stressed that current estimates show petrol and diesel subsidies across the country amounting to around RM6 billion a month compared to RM700 million before the global energy conflict.
He explained that the subsidy cost of Sabah and Sarawak alone is RM383 million per month or RM4.5 million per year.
Meanwhile, oil prices in the Peninsula for the period from 9 to 15 April saw an increase, where RON95 cost RM4.17 per litre and RON97 RM5.35 per litre, each increasing by RM0.40.
While the price of diesel in the Peninsula jumped to RM6.72 per litre with a drastic increase of RM0.70.
Currently, the price of diesel in Sabah, Sarawak and Labuan remains at RM2.15 per litre, and subsidised RON95-BUDI remains at RM1.99 per litre.
Tongod District Officer Hadzlan Jablee and Tokyo Community Development Officer (PPM) Hashim Omar were among the more than 400 residents who attended the ceremony.
