Kota Kinabalu: Parti Warisan Vice President, Datuk Junz Wong said the Federal Government should consider the unique needs of Sabah and Sarawak and not just focus on the peninsula when it come to its decision in rationalising diesel subsidy in the 2024 Budget.
“The Federal Government’s decision to rationalise diesel subsidy in the 2024 Budget has raised pressing concerns, particularly among the residents of Sabah and Sarawak, where the need for diesel is intrinsic to daily life,” he said in a statement.
He emphasised that the majority of diesel users in Malaysia hail from Sabah and Sarawak.
The rugged terrain and challenging road conditions have compelled the people in these areas to opt for 4×4 vehicles, which run on diesel, he said.
The Tanjung Aru Assemblyman said this choice is often made out of necessity due to the unsuitability of smaller or cheaper sedans due to these road conditions.
Junz explained the diesel subsidy has played a crucial role in alleviating the financial burden faced by the affected motorists and residents in the two states.
The diesel price now tagged at RM2.15 per litre, with a substantial subsidy of RM1.6.
However, with the impending removal of the subsidy in the coming year, the price is set to soar to RM3.75 per litre.
“This looming price hike poses a formidable challenge to the livelihoods of those in Sabah and Sarawak who depend on diesel for their daily mobility and work.
It’s not just 4×4 vehicle owners who will be affected. The cutback in subsidies also threatens the economic stability of villagers and farmers who rely on trucks and vans for agricultural activities,” he said.
This, in turn, he said puts added strain on the already fragile agricultural sector in these regions.
Even the fishermen, who depend on diesel to power their boats for their daily catch, are not exempt from the impending hardships,” he said.
While the government’s decision to eliminate the diesel subsidy is an attempt to curb leakage and smuggling issues, he suggests that a more targeted approach is necessary.
“Strengthening enforcement and ensuring that law enforcement officers maintain integrity in their duties could be more effective measures to address the problem without penalising the genuine diesel users in Sabah and Sarawak."