Friday 6 June 2008

oil boil coil foil

So the price of petrol in Malaysia has just gone up by RM0.78 per litre. That's an increase of nearly 40%! I've been monitoring the price of crude oil this past few weeks and it wasn't much of a surprise that the government will reduce the subsidy. Just a couple of weeks ago, the price of crude oil reached an all-time high of $137 per barrel. Currently it's decreased a bit to about $120. This is very high if you consider that just 3-4 years ago, it was just $20-$30 per barrel. All sorts of factors contribute to the price of oil, and I don't really understand much about it. Heck I don't understand much about my course either sometimes but that's another story.

Everywhere in the world people are affected by the increase in oil, so it was inevitable that the price in Malaysia would also increase. However, I believe that the manner that the government handled it was very poor. Very very poor. They keep saying contradicting things. One moment they say that the foreigners will be charged extra for petrol and only in August will there be any changes to the structure of the subsidies, and then *poof* out of nowhere came the news that the price will be increased that very night. But then again, they've done this before. One minute the parliament won't be dissolved tomorrow, and the next minute *drumroll* it will be dissolved tomorrow. Such lies are what we don't need especially now, when there are many economic problems throughout the world. Even the UK and US are feeling a slight pinch.

Somehow these people haven't learned from their past mistakes. How do you expect people to trust you if you keep lying to them? Do we need an indecisive leader or a determined one? Yes, of course humans make mistakes, but if you make too many mistakes in your job, maybe it means you're really not capable of handling it.

Like I said before, the price increase is unavoidable, but 78 sen is just too much and too sudden. No steps have been taken to let the rakyat prepare for what was going to hit them. Is this a ‘padan muka sapa suruh x undi kitorg majoriti time pilihanraya dulu’ gesture? If they do want to increase it by that much, they should've done so gradually, little by little. This abrupt news caused massive traffic jams at the petrol stations. And people even got angry with the petrol pumps that were closed due to them being out of oil, accusing them of hiding petrol so that they could sell them at a higher price. How chaotic.

The government should also ensure that our public transport system is quite efficient and covers the routes conveniently. If people complain about the Underground trains in London, then I couldn't imagine how they'd react to the KTM Komuter in Malaysia. Now don't even mention the buses.

It's very frustrating when the government tell us not to waste our money, to spend wisely etc, but at the same time, they're not doing what they preach. Having private jets to take them anywhere they want, spending a lot of money and sending a lot of people to unnecessary ‘study’ trips abroad and other absurd expenditures. I'm not saying we shouldn't learn from others, but do it wisely and remember that you're using the people's money.

In saying all this, I do not agree with people who think that Petronas has a right to subsidise petrol, that most of their profit should be spent on the people. Yes, Petronas is drilling oil in Malaysia, and yes, Petronas is a Malaysian company. However, they do need to pay those who work their socks off for them as well. Even Petronas's employees are affected by the price hike, well not the very high-ranked ones of course. Now let's not talk about the money getting into some politicians' pockets because that would just drag this entry. It's Petronas's profit and they have the right to use them as they please. To put it in a rude way, ingat Petronas ni syarikat bapak kau ke? Well, maybe there's an act somewhere that says Petronas is the company of everyone's fathers or something along that line. If that's the case, then I humbly apologize.

There's no doubt that this price increase will have a domino effect on all the price of goods since everyone is dependant on the fuel to power their means of transportation. I just hope that those in power know what they're doing and help those that will really be affected by all this. On the positive side, at least there'll be a little bit less pollution if many people don't use their vehicles if it's really not necessary to do so. But hey, I'm just hoping.

12 comments:

  1. hm..betullah petronas bukan syarikat bapak kite..
    tp kan...kerajaan seolah2 tidak berusaha untuk membantu rakyat.k, tun dr mahathir dah keluarkan kenyataan, if kerajaan keep giving subsidies on petrol, kerajaan xsakit pon. ko imagine, beras baru naik gile2 nak mampus (walaupun negara kita import beras ~30 % je, tp sume beras naik gile), tepung naik..tup2 minyak naik. sah2 la barang naik gile2 pasni n x mustahil beras naik lagi.dahtuh soh makan ubi n beras hanco. dorang makan ke?tak kan...
    pastuh, smlm depa announced lagi...perkenalkan cukai kat restaurant yg pendapatan tahunan 3mil. ape ke hal rakyat yg nak kene bayar cukai. xcukup lagi ke cukai2 yg macam2. then, nak jimat 13.7 mil petrol punye subsidi. tarif elektrik nak naik lagi bg sesapa yg guna elektrik lebih rm43. ko pk ek, berapa banyak umah yg kurang dr tuh. then, mane pegi duit?takkan subsidi petrol nak tarik balik...
    minyak mesia die gali, masuk poket, kan?honestly ah erk, aku yg bujang, dok menyewa kat bangi, ngan gaji RM2k++ ni pon, terasa tau. mane aku nak bayar umah, bg mak pak, bayarkan kete bapak,..last2 saving aku bulan depan kene cut.ape tah lagi lower class citizen. ko imagine la....
    sedih tau..is this what we want from our leader?sorry to say, dorg sgt2 xbijak...
    aku quote kate2 kawan aku dr indonesia.
    "kerajaan ayik suruh rakyat berjimat, tp sebenarnya rakyat dah lame berjimat sbb duit xdak...nak berjimat macamana lagi?dorg makin kaya.."
    cuba kite pk kan...betul jugak kan. for those yg dtg dr keluarga banyak duit, yela, xkan rasa...cube tgk org2 gaji <1k.pk la beb...aku pon da xlarat..baru nak bernapas abis belaja nak simpan duit..

    sorry ter emosi sikit

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  2. excellent point about the role (or rather the lack thereof) of petronas.

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  3. agreed and disagreed.

    petronas is a tricky issue. on the one hand u have them being a govt backed entity, on the other a privatized company.

    with regard to the subsidy, i would think that yes, petronas has the right over its profits. but how do we reconcile these 2 seemingly contradictory position of govt and private, to me, must be done with subtlety. and it is unfortunate that the govt who dispenses the part of petronas's profit is an incompetent one.

    and yeah, the price should be increased, but the cushioning of the effect is very poor.

    wallahua'lam

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  4. its not so much about pumping more money into the market or co-opting petronas's profits to maintain the subsidies.

    rather it is about how one manages one's resources and ensure that the rakyat will not be unnecessarily burdened by the rising oil prices.

    it is all about mismanagement the government; and no amount of money from petronas could rectify *that* problem!

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  5. "petronas is a tricky issue. on the one hand u have them being a govt backed entity, on the other a privatized company."

    transparency and accountability by petronas could go some way to remove petronas from being the punching bag.

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  6. first and foremost, i truly apologize if anything i've written in this entry has offended anyone. i'm aware that the current scenario will hurt everyones' pockets deeply, especially those in the lower income group and those who are supporting others.

    but in saying that, i'm still of the opinion that the price should be increased. even as i write this, the price of oil has risen above $130 per barrel again. however, like imran and wan aimran mentioned, the cushioning of this effect is very poor.

    i totally agree with wan aimran regarding mismanagement. the real problem does not lie within the price itself, but how the whole situation was managed, how all the money and funds were managed. every year, when the audit reports on the ministries' finance come out, there'll always be ridiculous expenditures by some ministries. people will complain about it, but after a couple of months, it will die down and the cycle will then repeat the following years.

    this all goes down to mismanagement of funds, and the misinformation given to the rakyat. it seems that there's a lot of 'mis-'s; mismanagement, misinformation, maybe they're really a big mistake.

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  7. aku sbg seorg geologist akn trus mencarigali minyak utk maslahat umum :)

    tp alangkah baik klu minyak yg di carigali dpt dimanfaatkn oleh rakyat bkn sebaliknya membebankn rakyat :)

    berikut merupakan senarai harga petrol di negara2 "pengeluar" minyak lain:


    trima kasih pak lah :)briliant!!

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  8. berikut merupakan senarai harga petrol negara2 pengeluar minyak lain di dunia : ( semua harga dlm RM)

    1.UAE = 1.19/liter
    2. egypt = 1.03/l
    3.bahrain = 0.87/l
    4. qatar - 0.68/l
    5.kuwait -0.67/l
    6. saudi arabia -0.38/l
    7.iran-0.35/l
    8. nigeria-0.32/l
    9. turkmenistan - 0.25/l
    10. venezuala - 0.16/l

    sila la compare dng negara2 pengeluar minyak :) x la compare dgn kemboja etc..

    trima kasih pak lah :)

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  9. I wonder the increase of student allowances for 100% is also unnessecary "study" subsidy. To be honest, the increase of that much money is quite a waste of rakyat money as many of the students use it for the sake of luxury lifestyle in UK like expensive restaurants and clothing. But then again, we only complain something that's against us, right? Sometimes we all take things for granted.

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  10. i think what is most important is to make sure that direction and size of any change - be it an increase or decrease - must be measured against a set of unbiased criterions (current realities, costs, needs and necessities) and must then be made to commensurate with external indicators (outcomes and results) though which the effectiveness of that change could be evaluated.

    indeed, whether or not an increase or decrease is warranted depends significantly on whether one deserves to be awarded such changes, which is closely related to the question of whether it is fair AND necessary.

    after these issues have been addressed, only then we can hope to arrive at an objective, well-balanced and just conclusion.

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  11. Tatkala si miskin sedang mengira-ngira butir-butir beras terakhir buat mengalas perut anaknya, si politikus sedang tersandar kenyang bagai ular sawa usai makan tengah hari di hotel 5 bintang...

    Alahai tanahairku...

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  12. ultrafil:
    trima kasih kepada para2 geologist sekalian! tu la, sepatutnya memanfaatkan rakyat, bukan memanfaatkan ahli2 politik semata2.

    tan sri/dato' seri/datin seri/dato'/datin/tuan/puan/encik/cik anonymous:
    students in certain locations in the uk really needed an increase in the allowance. however, i do agree with you that a 100% increase is a waste if they use it for the sake of luxury, and unfortunately, many certainly do.

    wan aimran:
    well said, aimran! and at least the government is taking steps towards the direction recently albeit a little bit late.

    matlut:
    mari la kita sama2 berdoa agar tikus2 ini sedar diri dan prihatin serta membantu mereka2 yg amat memerlukan pertolongan.

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