Petrol Sellers Affiliation of Malaysia desires to satisfy with the federal government to debate on gasoline value construction
Following the finance ministry’s announcement that gasoline costs will comply with a weekly float system from subsequent 12 months, the Petrol Sellers Affiliation of Malaysia (PDAM) desires the federal government to carry talks with its members earlier than the transfer is applied.
On Monday (December 24), finance minister Lim Guan Eng stated the change (again) to the weekly format is because of falling world crude oil costs, which is able to seemingly lead to decrease gasoline costs, together with for RON 95 petrol.
In a report by The Star, the affiliation stated that whereas decrease gasoline costs are welcomed, the transfer would lead to losses for sellers ought to crude oil costs decline additional. “As sellers, now we have no management over the worth. Say we purchase petrol immediately, if the federal government adjustments the worth tomorrow, now we have to comply with that even when we had purchased (the gasoline) at the next value,” stated Datuk Khairul Annuar Abdul Aziz, president of PDAM.
“Not like different companies the place they will nonetheless preserve a margin, we are able to’t, as we’re on the mercy of the federal government. So, let’s say the worth goes down each week, we’re then hit (with losses) 4 occasions a month,” he added.
Khairul additionally famous that sellers are unable to find out how a lot gasoline to inventory as a result of the choice was as much as the oil firms. “So we are able to’t even purchase much less inventory; our palms are tied,” he stated, including that sellers normally have a 10 sen per litre margin for petrol – a value lower greater than that may imply a loss on the supplier’s half.
“If the discount is gradual and doesn’t eat up our margin every day, then it will be okay however the authorities wants to debate with us. It’s proper that the federal government desires to offer that (decrease gasoline costs) to the rakyat and we’re all for that, but when we repeatedly promote at a loss, matilah (we’ll endure),” stated Khairul.
The PDAM president is suggesting to the federal government to permit sellers to make use of a consignment system when shopping for gasoline, or for a win-win mechanism to be put in place.
The submit Petrol Sellers Affiliation of Malaysia desires to satisfy with the federal government to debate on gasoline value construction Auto Reviews & New Cars on Paul Tan’s Automotive Information.