Why will RON97 petrol fall by 10 sen next week?

Question

Accepted Answer

RON97 Petrol Price Reduction Explained

The retail price of RON97 petrol will decrease by 10 sen per litre, moving from RM4.30 to RM4.20, for the period of September 8 to September 14. This adjustment is a direct outcome of the weekly retail pricing of petroleum products, which is determined by the Automatic Pricing Mechanism (APM) formula.
Price Setting Mechanism

The weekly retail prices for petroleum products, including RON97, are established using the Automatic Pricing Mechanism (APM) formula. This mechanism calculates the price based on prevailing market rates for petroleum products. The Ministry of Finance announces these new prices each week, ensuring a regular update to reflect market conditions.
RON97 Price Adjustment

For the upcoming week, the APM formula has resulted in a reduction for RON97. This specific petrol type, priced at RM4.20 per litre from September 8-14, reflects a 10 sen decrease from its previous price of RM4.30. This adjustment is applied to RON97 because its market price has fallen below its previous ceiling.
Government Support for RON95 and Diesel

In contrast to RON97, the prices for RON95 petrol and diesel will remain unchanged, with RON95 capped at RM2.05 per litre and diesel at RM2.15 per litre. The government is subsidising these fuels, as their real market prices have actually risen above the current ceiling prices. This measure is in place to shield consumers from the full impact of global oil price increases for these particular fuel types.

Reading history

Hide →

This history is cleared when the page is closed.

Why will RON97 petrol fall by 10 sen next week?

Loading

Was this article helpful?

Helpful

Not helpful

Report an issue

1

0

0

Share with friends