How much would RON95 and diesel cost without subsidies?

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Accepted Answer

Without government subsidies, RON95 petrol would cost RM2.50 per litre and diesel would cost RM2.46 per litre.

The current pump prices for RON95 petrol and diesel are capped at RM2.08 and RM2.18 per litre, respectively. These prices are maintained due to government subsidies. The Ministry of Finance has indicated that without this financial support, the cost of these fuels would be significantly higher.
Current Capped Prices

As of the latest adjustments, RON95 petrol is sold at RM2.08 per litre. Similarly, diesel is priced at RM2.18 per litre. These figures represent the maximum consumers currently pay for these essential fuels.
Projected Costs Without Subsidies

The Ministry of Finance has provided figures for what these fuels would cost in the absence of government financial assistance. Without subsidies, RON95 petrol would be priced at RM2.50 per litre. Correspondingly, diesel would see a substantial increase to RM2.46 per litre.
Impact of Subsidy Removal

The difference between the current capped prices and the projected unsubsidised costs highlights the extent of the government's subsidy programme for RON95 and diesel. For RON95, the subsidy effectively reduces the price by RM0.42 per litre (RM2.50 - RM2.08). For diesel, the subsidy amounts to RM0.28 per litre (RM2.46 - RM2.18).

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How much would RON95 and diesel cost without subsidies?

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