The retail prices of RON97 and unsubsidised RON95 petrol will drop by 5 sen per litre from Oct 1 to 7, according to an announcement by the Finance Ministry on Wednesday, Sept 30. RON97 will decrease to RM5.00 per litre from RM5.05, while unsubsidised RON95 will drop to RM4.52 per litre from RM4.57 under the Automatic Pricing Mechanism (APM).
Global Crude Oil Price Moderation Drives Fuel Price Cuts
The Finance Ministry stated that the reduction stems from a moderation in average global crude oil prices during the APM calculation period. This price shift followed the resumption of operations at Saudi Arabia’s East-West pipeline.
At the same time, refined petroleum supply in Asia has shown signs of recovery. However, the ministry noted that the broader recovery in global supply remains uneven.
“However, global geopolitical uncertainty is expected to influence the price of petroleum products in the short term,” the ministry said in its statement.
Unsubsidised Diesel Price Drops Alongside Petrol Adjustments
Motorists purchasing unsubsidised diesel will also see relief during the same weekly period from Oct 1 to 7. The retail price of unsubsidised diesel will drop by 15 sen, bringing it to RM5.27 per litre down from its previous rate.
Despite these market adjustments, the Madani administration maintains that it will continue to shield the rakyat and businesses from global uncertainties. This protection is delivered primarily by retaining targeted subsidies under existing frameworks.
Targeted Subsidies Shield Eligible Consumers from Market Fluctuations
Eligible users enrolled in the Budi Madani mechanism remain protected from fluctuating international oil markets. Budi Madani RON95 recipients will continue to purchase RON95 fuel at a fixed rate of RM1.99 per litre.
Similarly, qualified Budi Madani Diesel recipients can continue buying diesel at RM2.10 per litre throughout the adjustment period.
Government Urges Prudent Fuel Consumption and Journey Planning
Although national fuel supplies remain sufficient, the Finance Ministry urged the rakyat to use petroleum products prudently. Drivers are encouraged to plan their journeys better and reduce unnecessary travel to conserve resources.
The ministry emphasised that prudent consumption helps extend the duration for which the country’s existing fuel supplies can last. It also actively reduces pressure on government subsidy expenditures.
Frequently Asked Questions About Fuel Price Adjustments
What are the new retail prices for RON97 and unsubsidised RON95?
RON97 will retail at RM5.00 per litre, and unsubsidised RON95 will cost RM4.52 per litre from Oct 1 to 7.
How much is unsubsidised diesel during this period?
Unsubsidised diesel drops by 15 sen to RM5.27 per litre for the Oct 1 to 7 period.
What caused these retail price reductions?
The Finance Ministry attributed the drop to a moderation in average global crude oil prices following the resumption of operations at Saudi Arabia’s East-West pipeline.
Are Budi Madani subsidy recipients affected by the price drops?
No. Budi Madani RON95 recipients continue to pay RM1.99 per litre, while Budi Madani Diesel recipients continue to pay RM2.10 per litre.
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