Weekly fuel prices effective Thursday
Published on: Thursday, March 23, 2017
Kuala Lumpur: The weekly petrol and diesel prices fixed by the Government will be announced every Wednesday and the prices will come into effect after midnight (on Wednesday). Domestic Trade, Cooperatives and Consumerism Minister (KPDNKK) Datuk Seri Hamzah Zainudin said the first announcement on the new mechanism would be on March 29 and the new prices would be effective March 30. "However, petrol companies and station operators which want to carry out promotions by giving discounts on the fixed prices can do so after receiving the prior approval of KPDNKK," he said.
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Hamzah made the announcement in a live telecast on fixing weekly petrol and diesel prices over TV1 RTM, Wednesday. He also stressed that all petrol companies as well as station operators were required to adhere to the new prices. "Stern action will be taken against petrol companies and station operators which sell petrol and diesel at prices apart from government fixed prices," he said. The Government had earlier implemented fixing monthly prices on a managed float system by using the 'Automatic Pricing Mechanism' (APM) which was set in 1983.
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The fixing of monthly managed float prices began in December 2014. "The APM formula we are using is according to world oil market rates...When we used the monthly managed float, we found the changes or fluctuations of prices were so significant they caused anxieties among consumers and petrol station operators," he said.
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To improve the mechanism, Hamzah said KPDNKK held consultations with petrol companies, petrol station operators, non-governmental organisations and other interested groups. Stay up-to-date by following Daily Express’s Telegram channel.
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