Thursday, October 16, 2008

Petrol & Diesel Charts in Malaysia

Crude Oil Price is dropping continually

On 14 Oct 2008, petrol price in Malaysia was reduced 15 sen to RM2.30 from RM2.45 in tandem to the recent drop-off on crude oil price, which is staggering around USD80. How do you feel on this action? Will it save your pocket money? Most of people do not feel excited on the petrol price reduction. It is mainly due to the persistent high inflation rate!! It has caused the prices in food and drink increased profusely. Individual expenses are increased to the burdenning level, especially to the poor and low income groups. According to the recent report, the inflation rate is as high as 8.5%! In other words, the money you put in FD (fixed deposit) is depreciating! How could we bear with it? The price reduction does not bring the food price cheaper and, I think, the price will be very likely remained the same. Should government force prices to be cut?

Fighting in between fuel and the money in your wallet!

The picture below shows Malaysia and Singapore petrol prices in different years. From the graph, it illustrates clearly that most of the time, Malaysia petrol prices are much lower than Singapore. The comparison is not fair because Singapore does not export petroleum but Malaysia does export petroleum. Does it make us to ask for much lower petrol price? Do we take it for granted? If I am not mistaken, Malaysia major source of income is generated from petroleum. It takes about 40% of Malaysia net income. What will happen one day that Malaysia becomes net export petroleum? Will we continously enjoy petrol price? Therefore Malaysia should use money wisely and diversify into different type of income.

Petrol hike graph (from Maybank source)

Petrol and Diesel Prices in Malaysia (1990~2008)

The table above lists down the petrol and diesel prices in Malaysia. Just imagine, how enjoyful that when the petrol price was just as low as RM0.89 before year 1990. Did we feel happy and blisful at that time? I think most of us did not care about it and took it for granted.

Note: if you look at the table meticulously, you will notice that most of the petrol hike happened on May or Oct.
Petrol and Diesel Prices in Malaysia (1990~2008)

The sharpest increment occured on 5 Jun 2008, petrol and diesel prices incresead 78 sen or 41% to RM2.70 and RM1.00 to RM2.58 repectively. All citizens instantly felt the implication of these sudden increament. Food and other prices increased immediately . The worst thing was the following electricity hike.

On 14 Oct 08, petrol and diesel prices were decreased to RM2.30 and RM2.20 repectively. The total decreament for petrol and diesel prices were about 40 sen and 38 sen respectively from the peak prices. Will other prices like food decrease? I dont think the prices will be reduced significantly. What have gone up, it will not go down easily, which is very different to share price that can plummet sharply without notice.


Malaysia Petrol & Diesel Price Chart since 1990

1 comment:

ar kuen said...

I'm totally agree with you.
Hope that government can do something about this!!