KUALA LUMPUR: Deputy Domestic Trade and Consumer Affairs Minister Fuziah Salleh has assured that despite the targeted diesel subsidy's implementation on June 10, prices of goods remain under control.
Before the subsidy rollout, pre-enforcement operations gathered prices of 1,772 goods for comparison.
As of June 23, inspections at 2,790 premises led to 210 notices issued and seven investigation papers opened due to initial price increases, which were quickly addressed.
"We found that in the first few days, some traders took advantage of the situation. However, after we issued notices and called them to explain why prices had increased, we found the situation somewhat under control and those who want to increase prices might think twice to do so," she said in response to a supplementary question from Datuk Seri Richard Riot Jaem (GPS-Serian).
Richard inquired about the measures in place by the ministry to ensure that prices of goods do not increase despite the implementation of the targeted diesel subsidy.
Addressing concerns raised by Muhammad Fawwaz Mohamad Jan about sectoral impacts, she emphasised the ministry's vigilance over logistics to curb additional costs, issuing fleet cards to stabilise transportation expenses for essential goods.
"We issued fleet cards to ensure that there are no additional costs for transportation of essential goods. As for the construction sector, for the time being there are no targeted subsidies for this sector. However, engagement with relevant stakeholders and relevant ministries are ongoing."
Fawwaz inquired whether the government had conducted a comprehensive study to assess the ripple effects across sectors such as food and beverages, as well as construction, following the implementation of targeted diesel subsidies.
On June 9, Finance Minister II Datuk Seri Amir Hamzah Azizan announced that the retail price of diesel at all pumps in Peninsular Malaysia would be set at RM3.35 per litre, set at the market price based on the Automatic Pricing Mechanism formula, effective 12am on June 10.
He had said that the targeted diesel pricing and subsidy implementation would save the country RM4 billion annually, while strengthening its financial position in the long term.