Retail sales of diesel at petrol station in Malaysia has seen a 30% decrease in the first week since the subsidy rationalisation took effect on June 10, reported
This indicated that some companies which should have purchased diesel at market prices had previously bought diesel at the subsidised, retail rate, the minister said. “The upward trend in commercial diesel sales is also positive as it indicates a reduction in subsidised diesel leakages,” he added. The minister also said that Malaysia’s diesel subsidy expenditure had increased ten-fold, from RM1.4 billion in 2019 to RM14.3 billion in 2023, stating that the increase in subsidy expenditure was not solely due to market price increases, but also due to the increased consumption of subsidised diesel.
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