Automotive

Published on April 4th, 2022 | by Amirul Mukminin

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This Is How Much Money We Lose Every Time A Singaporean Pumps RON95 Instead Of RON97

Please make a report to KPDNHEP if you see a Singapore-registered car pumping RON95

The reopening of Malaysia-Singapore border on 1 April 2022 sees Singaporeans making their way across the Causeway and Second Link in droves to do grocery shopping and refuel their cars since they are much cheaper here.

In regards to the latter, drivers of Singapore- or any foreign-registered vehicles are prohibited from buying RON95 petrol due to its high subsidies but once in a while, we get errant visitors like this gentleman here, who was pictured fuelling up a Singapore-registered Toyota Estima with RON95 petrol over the weekend.

Now, let’s take a look at how much money the Malaysian government is losing due to irresponsible behaviours like this. This Estima owner was supposed to fill up on RON97, which is currently priced at RM3.91 (approximately SGD 1.26) per litre. For a full tank of 65 litres, he would have had to pay at least RM254.15 (SGD 81.90).

However, since he was spotted pumping RON95, which is sold at RM2.05 (SGD 0.66) per litre thanks to government subsidies, this person must have had paid just around RM133.25 (SGD 42.90) on that day. This works out to a difference of RM120.90 (SGD 39). And that’s for ONE vehicle.

In light of the situation, the Ministry of Domestic Trade And Consumer Affairs (KPDNHEP) has issued a statement to warn petrol station operators against selling subsidised fuel to foreign-registered vehicles.

Domestic Trade and Consumer Affairs Minister Datuk Seri Alexander Nanta Linggi said his ministry has periodically issued instructions to all fuel companies and petrol station operators near the Singapore border to ban sales of RON95 petrol to foreign-registered vehicles, including motorcycles.

He added that all state ministry offices bordering Singapore and Thailand have been ordered to intensify monitoring and inspections as well as to take stern action against any party that violates the Control of Supplies Act 1961 (Act 122) and (Control of Supplies Regulations 1974).

The Act stipulates a fine not exceeding RM1 million or a jail sentence of not more than three years, or both for individuals, and fines no more than RM2 million for entities or companies that violate the law.

Nanta also said that the ministry’s enforcement division has launched an immediate investigation and will conduct more aggressive monitoring at petrol stations, especially those near border states.

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