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Petrol levy on T15 better than two-tier pump prices, govt told

KUALA LUMPUR: The government should consider imposing a RM2,500 annual petrol levy on the T15 income group instead of introducing two-tier prices for RON95 at petrol pumps.

Datuk Eric See-To, the former Barisan Nasional (BN) strategic communications deputy director said differing pump prices for those who qualified for subsidised RON95 and those did not, was not a good idea.

He said differing pump prices would require a mechanism to identify who fell into the T15 category and the other 85 per cent of people.

"This will only complicate matters for petrol stations and users, and add to the costs of selling petrol," he said in a Facebook post.

He said once the government identified those who belong to the T15 group, it could impose a petrol levy on them when they renewed their road tax.

"If a car belonging to a T15 person uses 50 litres of petrol a week or RM2,500 litres of petrol a year and the subsidy cost is RM1 per litre, the government can impose a RM2,500 petrol levy on the T15."

See-To also said the government could even impose a petrol levy on new petrol vehicles which costs over RM300,000 a year.

"If these people are really from the T15 or can afford a new car over RM300,000, I do not think it will be a problem for them to pay RM2,500 a year for each car they own?"

He said this idea would see only one price at petrol pumps and the government would still collect money from the T15 to subsidise eligible motorists.

"Another measure the government consider is what is being done through Budi Madani, where diesel prices are floated yet 85 per cent of Malaysians who qualify receive monthly aid."

On Friday, Prime Minister Datuk Seri Anwar Ibrahim said subsidies would be gradually reduced for the T15, with the savings used to improve infrastructure for boarding schools and public universities.

He also announced that a targeted subsidy plan for RON95 fuel will be introduced in the middle of next year.

He said the savings generated by the government would be reinvested for the benefit of the public.

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