I call on the Ministry of Finance to immediately enhance transparency in the current fuel pricing mechanism by making public the actual market price of diesel and RON97 together with the weekly fuel price announcement every Wednesday.
At present, although retail diesel prices have increased, based on the industrial diesel
price, the reality is that the Government continues to heavily subsidise diesel. This fact has not been sufficiently communicated to the public. Without disclosure of the true market price, Malaysians cannot fully appreciate the scale of subsidy being borne and the seriousness of the fiscal challenge facing the country.
In addition, the Ministry of Finance should disclose the latest monthly total subsidy figure for petrol and diesel. The subsidy has already surged from approximately RM700 million to RM3.2 billion as of 22 March, and further to RM4 billion just five days ago as announced by Prime Minister Anwar Ibrahim. Based on the latest increase in global fuel prices, it is clear that the current subsidy figure will now be significantly higher than RM4 billion.
Even if we annualise the RM4 billion figure, this already implies a staggering RM48 billion per year. This raises serious questions. How does the Government intend to finance such a massive subsidy burden? Will this lead to a higher fiscal deficit? The public deserves clear answers.
Recent comments by Akmal Saleh also reflect a fundamental misunderstanding of the issue. The Ministry of Finance has already explained that Malaysia’s fuel prices are determined based on the average price of the previous week, not current daily prices. Comparing Malaysia’s pricing mechanism directly with other countries without understanding this basic structure is misleading.
As a state EXCO member who had previously announced his intention to resign but failed to do so, he should act responsibly by helping the Government explain the realities to the rakyat, rather than adopting populist rhetoric that risks confusing the public.
This is not a political game. The scale of fuel subsidy today has significant implications for national finances, fiscal sustainability, and future economic stability. Leaders must be honest about the trade offs involved and ensure the rakyat understands the real situation.