Friday, 27 March 2026

Consider Sarawak-specific fuel subsidy mechanism

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Datuk Sim Kiang Chiok

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KUCHING: The Sarawak United Peoples’ Party (SUPP) Stakan Branch voices strong opposition to the federal government’s reported proposal to reduce the subsidised RON95 fuel quota from 300 litres to 200 litres monthly.

The proposal is described as ill-timed and disconnected from realities in Sarawak, where limited public transport and long travel distances make private vehicles a necessity.

Branch chairman, Datuk Sim Kiang Chiok, said the reduction clearly fails to consider the daily realities faced by Sarawakians who depend heavily on private transportation.

“Many Sarawakians travel beyond 2,500 kilometres monthly for work, education, healthcare and daily needs,” he said in a statement issued today.

He stressed that a 200-litre monthly quota is insufficient and would force consumers to purchase fuel at market prices, significantly raising their cost of living.

According to him, higher fuel costs will trigger a ripple effect across the economy, increasing logistics and transportation expenses, and ultimately driving up prices of goods.

He added that the situation would not only burden Sarawakians but could also impact the wider Malaysian economy due to rising supply chain costs.

At the same time, he questioned the fairness of the proposal, noting that Sarawak is among the country’s major contributors of oil and gas revenue.

“It is only fair that Sarawakians benefit from the state’s natural resources, instead of facing reduced subsidies that increase their financial burden,” he stressed.

Sim also emphasised that Petroliam Nasional Bhd’s (PETRONAS) windfall profits, particularly during periods of high global oil prices, should be used to sustain fuel subsidies.

He said a one-size-fits-all federal policy is unsuitable and fails to reflect Sarawak’s unique geography and the needs of its people.

In this regard, SUPP Stakan urged the government to reconsider the proposal and introduce a Sarawak-specific fuel subsidy mechanism promptly.

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