The increase in fares by Singapore travel agencies and tour buses, along with the busting of diesel-smuggling syndicates at the border, proves that the diesel subsidy rationalisation initiative should be continued, said Prime Minister Anwar Ibrahim.
Anwar said targeted diesel subsidies are critical to saving the country financially by stemming fund leakages caused by unscrupulous parties.
“All tour buses and travel companies from Singapore want to raise prices because they say they can’t get diesel subsidies, which means for decades, our subsidies went to Singapore companies, to Thai fishing boats. A lot of funds were leaking.
“Subsidies were benefiting 3.8 million foreigners, (diesel) taken out to Thailand and sent to Thai fishing boats… Malaysian taxpayers are paying but foreigners are reaping the benefits,” he said at a korban event at Masjid Jamek Cherok Tok Kun Bawah today.
Anwar, who is also finance minister, noted that the number of cars produced from 2012 to 2020 was small compared to the skyrocketing increase in diesel consumption because the fuel was enjoyed by foreigners.
The prime minister, however, admitted that there are several issues following the diesel subsidy rationalisation but promised to rectify these weaknesses.
Anwar said he is open to receiving any suggestions regarding the implementation of targeted diesel subsidies.
“I am open-minded; if there are any weaknesses, let us know and we will fix them. This is an initial trial that naturally faces some problems; I do not deny that, but to criticise as if the government is cruel, that is unacceptable,” he said.
He said the previous government and leaders also agreed with diesel subsidy rationalisation because it is the right step to prevent subsidy wastage and return savings to the people.
- Bernama
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