RON 95 Price To Be Capped At RM 2.20, Even If Crude Becomes Really Expensive

This whole business of petrol prices has been mightily confusing, with the back and forth aggravating everyone from the common consumer (such as you, or I), to petrol station owners associations who are worried a declining trend in the value of crude may result in massive losses.

With a number of plans slated for the new year having been put on hold, Lim Guan Eng came forward to clarify that the price of RON 95 petrol in particular would be capped at RM 2.20 for the foreseeable future, in the sense that the price at the pump would never go over this figure regardless of the real-world value of crude oil - as reported by The Star. 

This is a largely populist move, although one that opens up the government and our country to unnecessary exposure should the price of crude explode as it has done in the past, being strongly influenced by political ongoings around the world. 

But let us not forget that this method of floating the fuel prices is meant as a stop gap measure until the petrol subsidy card can be introduced and implemented effectively among lower class citizens. It has been stated that blanket fuel subsidies will be going away this year, and it's only a matter of time before they figure out a proper process for their targeted fuel subsidy.