PUTRAJAYA, Activities believed to be related to diesel smuggling have reduced, particularly in border areas of the peninsula, said Communications Minister Fahmi Fadzil.

He said observations conducted by enforcement personnel found that diesel purchasing activities have dropped at several petrol stations in Rantau Panjang, Kelantan and Wang Kelian in Perlis.

‘…smuggling activities (of diesel) have been successfully curbed due to the implementation of targeted subsidy,’ he told reporters at a media conference after the Cabinet meeting here today.

Diesel price at all retail petrol stations in Peninsular Malaysia is set at RM3.35 per litre beginning June 10, which is the unsubsidised market price based on the Automatic Pricing Mechanism formula for the month of May.

Finance Minister II Datuk Seri Amir Hamzah Azizan, when announcing the matter on June 9, said the price setting and implementation of the targeted diesel subsidy will save the country RM4 billion annually and strengthen its financial position f
or the long term.

Source: BERNAMA News Agency