No plans to raise fuel prices for now, PM
PUTRAJAYA: The Government does not intend to increase fuel prices for the time being, Prime Minister Datuk Seri Abdullah Ahmad Badawi said yesterday.
He, however, said that when the time came for prices to be increased, the government would be forced to do so.
"When the time comes when we feel that they have to be increased, we will increase. If we feel that we can still hold on to the present prices, then the present situation will remain," he told a press conference here.
The Government was constantly monitoring the price situation, he said when asked whether it intended to raise fuel prices since the increased cost of crude oil meant that it would have to fork out more in fuel subsidies.
The Government spends more than RM30 billion annually in fuel subsidies.
The last time when fuel prices were increased in the country was in February 2006. This saw an 18.5 percent jump in the price of petrol to RM 1. 92 a litre when crude oil was sold at US$60 (RM210 at the then prevailing exchange rate) a barrel.
But crude oil prices have since soared to around US$96 a barrel of late and the highest level was recorded on Nov 21 last year when it reached US$99.29 a. barrel. - Bernama