Malaysia Prime Minister Datuk Seri Abdullah Ahmad Badawi has announced the restructred fuel subsidy schemes today.
Here are the cabinet's decisions on the subsidy of petrol and diesel:
- Effective 5 June 2008, RON97 petrol price rises by 78 sen from RM1.92 to RM2.70 per litre. RON92 petrol price also rises by 78 sen from RM1.88 to RM2.62 per litre.
- At the same time, diesel price also rises by RM1.00 from RM1.58 to RM2.58 per litre.
- For personal vehicles up to 2000 c.c. and also trucks and jeeps up to 2500 c.c., an annual cash rebate of RM625 will be given.
- For motorcycles up to 250 c.c., the annual cash rebate will be RM150.
- The cash rebate will be given from 1 July 2008 onwards in the form of Money Order collectible in Pos Office to road tax renewed within 1 April 2008 and 31 March 2009.
- For personal vehicles above 2000 c.c., there will be a reduction of RM200 in road tax.
- For motorcycles above 250 c.c., the reduction in road tax is RM50.
Other than the above, decisions have also been made which affect the following areas:
- Diesel subsidy for logistic transport, vessels and fishermen.
- Gas price to electricity producers and for industrial usage.
- New electricity tariff effective 1 July 2008: no change for household with monthly bill less than RM43.60, else there will be a 18% residential tariff increase. 26% tariff increase for commercial and industrial regions.
- Windfall tax for Independent Power Producer (IPP) and Palm Oil Producer (POP).
- Effective 1 July 2008m threshold for 5% service tax to restauran outside hotels risen from RM0.5 million to RM3 million.