Petrol Prices Expected To Climb Next Month, Says PDAM

A report from the Malaysian Digest suggests that the RM1.70 for RON95 petrol we enjoy this month, may be on the up come the 1^st of March, 2015, when new prices are announced.

As of February 1^st, 2015, Malaysians pay RM1.70 per litre for RON95 petrol and diesel, while RON 97 is sold at the pump for RM2.00 per litre.

These prices are determined by a managed float system that’s based on the monthly average of global crude oil prices for the preceding month. The new managed float system was put in place by the government late 2014, after it had fully removed fuel subsidies which was reported to cost the government some RM20 billion a year.

The speculation now exists because global crude oil prices have just been reported to have risen to US$60, where it was US$48 in the previous month. President of the Petrol Dealers’ Association of Malaysia, Datuk Hashim Othman, told the Malaysian Digest (MD) that based on that point, he too expects a price increase at the pump.

Come February 28^th, 2015, likewise March 31^st, 2015, we’ll know for sure.