Prices For RON95 And Diesel In Malaysia To Be Determined By Float System

KUALA LUMPUR : The retail price for RON95 petrol and diesel will be fixed on a managed float system from Dec 1, effectively marking the removal of all fuel subsidies, according to The Star Online. 

 

Under the managed float, similar to that now used for RON97, retail prices would be based on the monthly average world price of crude oil.

Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Hasan Malek, who announced the Cabinet’s decision on this yesterday, said the average price difference in the cost of the fuels in a month would determine the retail prices for the following month.

“This means, if the price of world crude oil increases, so will retail prices of RON95 and diesel and vice-versa. We monitor the world oil price every day to get the average price. 

So for Dec 1 prices, we will calculate the average price between Nov 20 to Nov 31 and make the necessary announcement,” he said.

The current price of RON95 is RM2.30 per litre while the price of diesel is RM2.20.