Petrol Price Reductions Make No Sense !!

Does this chart look right ?.... Hell no.... you just need sundry shop mathematics to see what's wrong.

USD/barrel 120 = RM 2.70

USD/barrel 63 = RM 1.92

USD/BARREL 55 = RM 2.00

USD/barrel 48 = RM 1.90

From USD 120 to USD 48...we go from RM 2.70 to RM 1.90 ? A drop of USD 72 only gives us a drop of RM0.70 ? The ratio's are way off man ! The price reductions make no sense !

On November 18th 2008, our Domestic Trade and Consumer Affairs Minister, Datuk Shahrir Samad announced that the government had stopped subsidising petrol from November 1st.

Why was this matter announced more than 2 weeks after the government had stopped subsidising petrol and not immediately when they stopped ??

This means that between that duration of time, & even until now, we are paying petrol tax !!

It means that we are subsidising the government !!

In fact, economists say that the petrol price here should be around RM 1.50 ... 40 sens cheaper !

The excuse given by the government for the higher price is because other costs such as refinery and processing is taken into consideration. Ya right.

They also say that even Singapore, UK & Australia are selling petrol above market price. Hello friend, what about all the other countries that are selling petrol at the rightful market price ?

Besides, unlike Malaysia, Singapore, UK & Australia are not oil producing nations !!

  Next they say that the extra money earned from the government from this crappy fuel price mechanism will be used to "improve public transportation & the economy". Ya right, my foot la !!

  Another excuse for the higher price is to reduce the number of vehicles on the road and cultivate the people to use public transport. Well, .... we would use public transport if it was really good !  Besides, sales of vehicles here have dropped tremendously. Which dude will buy a car in the middle of a global economic crisis ??

Past few years, every budget announced will have billions allocated for public transportation. Yet public transportation services have not changed much & still sucks.

  As for improving the economy, I don't buy that excuse. Don't forget, the government has announced a RM 7 billion stimulus package for the improvement of the economy. This RM 7 billion is money saved from the reductions of the fuel subsidy.

  Their also robbing RM 5 billion form the EPF (Employees Provident Fund) to give to some company called ValueCap to invest wisely in the stock market and improve the economy. However, at the same time, ValueCap has a debt of RM 5.1 billion. Doesn't it sound fishy & ironic ? I'll talk about this in the next post.

  So when their having a stimulus package and stealing money from the EPF to improve public transportation and improving the economy, why the need for petrol prices that are higher than the market price ? 

  Aren't they forgetting that we're already burdened with higher toll rates, water & electricity tariffs.... Have they forgotten that Malaysians pay all sorts of other ridiculous taxes ? Not to mention rising food prices ? (I don't give a damn if roti canai & teh tarik falls by 10 sens)

Star newspaper even reported two days ago that the government makes RM16 million a day from this pricing. How can they be so unethical & make profit from the people like this ?

I would really like to know on what basis is petrol prices determined here ?

Who is the genius with the brilliant brains formulating the budget ?

In conclusion, petrol prices should be way cheaper here and the fuel price mechanism should be based according to the market price. Well, as they say, BN = Barang Naik.

  BTW, please don't misunderstand me by saying that I support petrol being subsidised. I don't. Petrol here shouldn't be subsidised anymore. The money saved can be used for better things... but... it's not right for the government to be making profit from the people like this by selling petrol higher than the global market price.