PN questions diesel price gap between peninsula, East Malaysia

2026-03-26 - 06:30

PN secretary-general Takiyuddin Hassan said the difference in diesel prices risks being seen as unfair, as consumers and businesses in the peninsula bear a heavier burden than those in Sabah and Sarawak. PETALING JAYA: Perikatan Nasional (PN) has raised concerns over the difference in diesel prices between East Malaysia and Peninsular Malaysia amid the Middle East conflict. PN secretary-general Takiyuddin Hassan said the stark difference risked creating the perception of injustice. “While there may be certain justifications related to subsidy structures and regional economic considerations, such a large price gap risks creating perceptions of unfairness, with consumers and businesses in Peninsular Malaysia bearing a disproportionately heavier burden, or appearing to be penalised by the government for certain reasons. “This situation demands a transparent and honest explanation to prevent confusion and negative perceptions among the people,” he said in a statement today. Takiyuddin noted that the hike was driven by rising global oil prices and geopolitical uncertainty in the Middle East, but said that Malaysians deserve clarity on how the government plans to respond, including mitigation plans to ease the impact on households, traders, and small and medium enterprises. He also questioned the effectiveness of the measures announced so far in easing the people’s burden. Takiyuddin said the government should explain the real reasons behind the sudden fuel price hike, announce immediate measures to ease the cost-of-living impact, clarify whether additional targeted aid will be provided, and outline projections on the likelihood of further increases. He said PN suggested a temporary windfall tax on sectors benefiting from surging global commodity prices, including the oil industry, so that extra revenue could be channelled to help ease the people’s burden. “The government must prioritise the welfare of the people and ensure that its policies are transparent, responsible, and effective,” he said. The latest weekly fuel price update saw RON97 at RM5.15, unsubsidised RON95 at RM3.87, and diesel in Peninsular Malaysia at RM5.52, continuing a fourth straight week of increases. In East Malaysia, diesel continued at RM2.15 per litre. The finance ministry said global crude oil prices had surged over 40% to above US$100 per barrel due to the ongoing conflict in West Asia, raising the risk of supply disruptions. It added that despite being an oil-producing country, Malaysia’s domestic fuel prices remain influenced by global markets, as a significant portion of supply is imported.