PUTRAJAYA: The Finance Ministry announced today that the ceiling price for RON95 petrol will be reduced to RM2.08 per litre, from RM2.20 per litre previously.
Its Minister Lim Guan Eng, in a statement, said the Cabinet has agreed that the ceiling price for RON95 should be reduced.
“This means that the retail price of the RON95 will be set at RM2.08 per litre even if the global crude oil price increases.
“And if the global oil price reduces to less than RM2.08 a litre, then the retail price will be reduced accordingly,” he added.
The ceiling price for diesel was previously set at RM2.18 per litre while there's no ceiling price for higher grade petrol, RON97.
Lim added that the retail fuel prices of RON95, RON97 and diesel will continue to be announced on a weekly bases based on the Automatic Price Mechanism (APM).
This week, the RON95 petrol retailed at RM2.08 per litre, while RON97 at RM2.38 per litre and diesel RM2.18.
Lim said the weekly fuel price mechanism is aimed at protecting the lower income group or Bottom 40 (B40).
He also added that the weekly fuel price mechanism will continue until the targeted petrol subsidy system is implemented in the second quarter of this year.