Petrol Subsidy Debate.

Lets make my stand clear in this issue;
I do not support commodity price subsidy. Full stop.

Pointless for me to explain that aa scheme like this, subsidy on the price of an essential item, be it rice, sugar, water or petrol and diesel would only skew up the consumption behaviour of consumers. Consumers tends to consume more of the subsidized item, which had been made relatively cheaper that other alternatives. This would make alternative products uneconomical, unable to compete on price.

True that petrol and diesel is the basic necessity for downstream products. Anything that require transport from producer to consumer is more than likely has petrol component in its final price offered to consumers.
So the theory goes that by subsidizing petrol and diesel, other goods and services would not increase in price. How true.
BUT that stance doesnt encourage consumers, ie Malaysian people to search for alternatives. By alternatives I do not mean just biodiesel.

What if we change the way we do things? Do we have to commute everyday to office, factories and drive our car to supermarket to buy food? Do we have to drive our kids to school every morning? What if we collectively find other ways to reduce petrol consumption?
Still, price is the BIG determinant that will push us to change our way of doing things.

As they said, that the poor villagers on bicycle do not use as much petrol subsidy as a city dweller in Taman Tun who has 4 cars in the porch.

Let us consider this scenario:
Tomorrow Govt removes the subsidy on petrol and diesel. So prices rose to the world market price about RM2.60 a liter for petrol. So a raft of other products and services would also increase in price, food prices, bus fare and transportation cost.

People would change their way of doing things. And firms would also change their way of doing business. I would expect people would make less shopping trips, and reduce their commuting. Firms would do more of their business online, and their office workers would do most of their work online from home, reducing the need to commute to office.

In my opinion, we have to move on and accept the fact that oil price will stay high for a forseeable future. Lets accommodate that into our planning for the country. The sooner we accept that the better.

Now Dato Seri Najib, what are you going to do with the billions of extra oil revenue? Surely you cant just use it to buy another Scorpene or two? Now its time that Dato Seri Najib to explain further that the Govt will subsidize the poor Malaysians below certain level of income an amount of money to relieve them of their burden of high prices brought about by removal of petrol subsidy.
Dato Seri Najib, do announce that the Govt will give RM200 a month to lower income Malaysian household, on per household basis provided that their combined income is less than RM1500 a month.


Sikap pemimpin BN termasuk Najib akan 'bankrupkan' negara - Mahfuz
Wan Nordin Wan Yaacob
Mon | Dec 31, 07 | 1:33:17 pm MYT
SEREMBAN, 31 Dis (Hrkh) - Ketua Penerangan PAS, Mahfuz Omar menyelar kenyataan Timbalan Perdana Menteri, Dato' Seri Mohd Njaib Tun Razak yang menyatakan bahawa pembangkang 'tiada akal' dalam menawarkan penurunan harga minytak kepada rakyat jika memerintah Malaysia.



"Kerana kita ada akal lah kita menawarkan kepada rakyat penurunan harga minyak pada harga yang berpatutan.Kita tidak mahu rakyat nanti bankrup kerana kenaikan harga minyak.Kita juga tidak mahu angkara pemimpin yang menyeleweng, negara dan rakyat yang akhirnya menjadi bankrup," ujarnya kepada Harakahdaily hari ini.

Mahfuz berkata, kenyataan Najib bahawa negara akan bankrup jika penurunan harga minyak dibuat hanya membayangkan bahawa pemimpin itu 'hilang akal'.

"Negara tidak akan bankrup jika menurunkan harga minyak, sebaliknya pengurusan negara yang tidak beretika, tidak cekap, penyelewengan berleluasa, rasuah di kalangan pemimpin kerajaan akan menyebabkan negara menuju kepada kebankrupan," katanya semasa dihubungi Harakahdaily hari ini.

Terdahulu semalam Najib semasa merasmikan program di Sabah menyatakan bahawa kerajaan akan bankrup jika harga minyak diturunkan dan kerajaan tidak akan boleh membina sekolah, universiti dan pembangunan jika tindakan itu dilakukan.

Pendidikan percuma, pembangunan terancang

Mahfuz yang mengulas lanjut kenyataan itu berkata, Najib tidak bijak dalam membuat kenyataan sedemikian kerana baginya sumber negara masih banyak dan negara tidak akan menuju ke arah bankrup jika menurunkan harga minyak.

Malah katanya keuntungan dari hasil minyak sebenarnya boleh dimanfaatkan untuk sektor pendidikan (pendidikan percuma) dan pembangunan yang lebih terancang, katanya.

Bagaimanapun perkara ini tidak diamalkan oleh pemimpin kerajaan hari ini, sebaliknya mereka bermewah-mewahan dalam berbelanja selain mendapat ganjaran melampau hasil dari pengurusan negara ke arah 'kantung sendiri', katanya.

Sebagi bukti Kata Mahfuz, rekod dalam Laporan Audit negara 2006 menunjukkan bahawa penyelewengan dalam beberapa urusan pembelian dan kontrak bekalan peralatan kerajaan seperti pembelian helikopter, 'screwdriver' dan beberapa peralatan lain pada harga yang tidak munasabah adalah bukti betapa pengurusan kerajaan Barisna Nasional (BN) sangat lemah.

Jawab isu komisen

'Trend' pengurusan negara sebegini katanya hanya akan membuatkan kewangan negara menjadi tenat kerana terpaksa menanggung perbelanjaan yang 'luar biasa' yang akhirnya tidak memberi manfaat kepada rakyat ataupun pembagunan negara.

Mengulas dakwaan penglibatan Najib dalam mendapat komisen pembelian kapal selam dan pesawat bernilai masing-masing RM400 ke RM500 juta Mahfuz menyatakan bahawa sikap seperti Najib inilah punca yang membawa negara kepada bankrup.

Pemimpin seperti najib sebenarnya tidak layak menerajui kerajaan ini kerana ianya hanya akan menjadikan pengurusan negara semakin lemah dan mereka hanya memikirkan soal kepentingan 'periuk nasi' mereka sahaja, katanya.

Sambil melahirkan rasa kesal dengan kenyataan Najib yang dianggap sebagai memperbodoh rakyat itu Mahfuz berkata, pembangkang sebenarnya mahu menawarkan penyelesaian kepada masalah yang dihadapi rakyat akibat kenaikan harga minyak.

Oleh kerana tertekan dengan tawaran pembangkang ini, Najib akhirnya membuat kenyataan yang tidak menunjukkan jiwa glokalnya sebaliknya menjadikan Timbalan Presiden Umno itu bahan tertawa, kata Mahfuz.

Tolak idea Najib

Justeru Mahfuz menyarakan kepada rakyat agar menukar kerajaan yang ada hari ini kepada kerajaan pimpinan Barisan Alternatif (BA) yang jika diberi mandat akan membela nasib rakyat.

"Kita berfikir bukan untuk menyusahkan rakyat sebaliknya menolong dan membela rakyat.Tidak seperti yang pemimpin BN dakwa bahawa kita ini pengacau dan tiada akal," tegasnya.

Mahfuz menyeru rakyat agar menolak idea pemimpin seperti Najaib ini yang tidak mementingkan rakyat, justeru ia perlu direalisasikan dalam pilihan raya akan datang.

Anwar buat tawaran

Beberapa hari lalu, dalam progam bersama rakyat di Negeri Sembilan, bekas Timbalan Perdana Menteri, Dato' Seri Anwar Ibrahim dalam ceramahnya di Linggi mengumumkan tawaran penurunan harga minyak jika BA diberi mandat memerintah Malaysia.

Anwar yang berceramah di hadapan lebih 800 hadirin menerima tepukan gemurun sebaik sahaja mengumumkan perkara itu dan berjanji keuntungan Petronas yang kini mencecah RM80 billion akan diagihkan untuk pendidikan percuma dan penurunan harga minyak.

"Saya ada pengalaman dalam mengurustadbir negara sebab saya bekas Timbalan Perdana Menteri.Masa saya jadi Menteri Kewangan dahulu pertumbuhan ekonomi negara mencapai lebih 9 peratus, tetapi kini sekitar 5 peratus sahaja.Ini menunjukkan pengurusan ekonomi negara yang tidak cekap selain rasuah yang meningkat," ujarnya.

Dalam ceramah yang sama, Anwar juga mencabar Najib untuk menafikan pembabitan Timbalan Presiden Umno itu dalam skandal komisen pembelian kapal selam dan pesawat Sukhoi yang didakwa membabitkan nilai komisen antara RM400 ke 500 juta.

Sehingga kini Anwar berkata dakwaan itu tidak dijawab Najib malah pemimpin negara itu hari ini mendakwa pembangkang membuat tuduhan melulu.

"Saya kata saya ada bukti, saya tidak akan buat tuduhan tanpa bukti," ujarnya.

Justeru beliau menyarankan agar rakyat melakukan perubahan dalam pilihan raya akan datang bagi memastikan kerajaan yang 'korup' hari ini disingkirkan.




Najib: Opposition would bankrupt the country over fuel subsidy

By MUGUNTAN VANAR

KOTA KINABALU: The opposition’s promises to reduce oil prices if it were to form a government will only bankrupt the country, Datuk Seri Najib Tun Razak said.

The Deputy Prime Minister said it was “just not possible” for the opposition to bring fuel prices down, pointing out that they were only fooling the people with empty promises.

He said claims that the opposition would channel Petronas profits into subsidising fuel prices did not make sense as current oil prices were on a record high.

“Say, if Petronas makes RM70bil or RM80bil (and) they want to channel it for fuel subsidy. Then where will the government obtain funds for building roads, hospitals and other amenities?” Najib said at the Tuaran Tamu Besar and Cultural Carnival here yesterday.

He said that despite escalating world fuel prices, the Barisan Nasional government was able to maintain the lowest prices compared to most countries in the region.

“We can sustain our oil production until 2011 if no new oilfields are found.

“After that, from being an exporter, we will become an importer of oil,” he said, adding that Malaysia’s current oil production was not as large as countries in the Middle East.

Najib also questioned an opposition claim in Tuaran that a Kadazandusun university student had dropped out because of financial problems.

“I want to ask them to show us this student. I will ensure that she gets a full scholarship to continue her studies,” he said.

Tuaran, a rustic town at the foot of Mount Kinabalu, has lately become a hive of opposition political activity after the appointment of local lawyer Ansari Abdullah as Parti Keadilan Rakyat (PKR) state liaison chief.

Chief Minister Datuk Musa Aman, in his speech, slammed PKR adviser Datuk Seri Anwar Ibrahim for promising the people that he would increase the 5% oil royalty for the state.

“He never talked about oil royalty issues when he was Finance Minister,” Musa said, adding that Sabah had been well compensated with over RM20bil in Federal development projects.

Najib also said the Federal Government had approved the building of a new RM120mil hospital for Tuaran.

He also announced that a RM13mil water treatment plant and upgrading project in Telibong would be ready in April next year.