Akmal claims Umno Youth is in support of restructuring subsidies
PETALING JAYA: Dr Muhammad Akmal Salleh, the head of Umno Youth, said the organisation is in support of restructuring subsidies.
Even though there was a lot of opposition at the time, he claimed that the previous Barisan Nasional administration had also recommended it.
Dr. Akmal stated, “We recognise the efforts required to develop our nation, but at the same time, the rationalisation of the diesel subsidy should have been done in stages to avoid any sudden economic impact.”
“We want the people to benefit from this policy as much as possible,” he continued.
According to Dr. Akmal, the rationalisation ought to have started smaller to give space for error in the event that difficulties should emerge.
He continued by saying that major rationalisation should only be carried out gradually and only when the economy has stabilised.
“Diesel prices increased sharply from RM2.15 to RM3.35 after rationalisation, which will undoubtedly have an impact on the public and economy.”Payouts of subsidies to individuals in need are similarly in their infancy and will inevitably encounter problems.
“It is difficult to avoid the economic impact on the public,” he stated in a statement released on Monday, June 10.
Diesel prices in the peninsula will be floated and retail at RM3.35 per litre starting on Monday, according to a statement made on Sunday by Finance Minister II, Datuk Seri Amir Hamzah Azizan.
According to him, the pricing for the month of May is determined using the Automatic Pricing Mechanism algorithm.
Diesel prices in Sabah, Sarawak, and Labuan will remain at the RM2.15 per litre that was previously published on June 5.
Prime Minister Datuk Seri Anwar Ibrahim declared on May 21 that diesel subsidies would be eliminated for “the rich and foreigners” in his announcement of the rationalisation of fuel subsidies.
He said the country will save RM4bil a year by rationalising the diesel subsidy first in the peninsula and implementing it in Sabah and Sarawak only later.