Government working to improve fuel pricing mechanism - Hamzah Zainuddin

Minister Datuk Seri Hamzah Zainuddin said the discussions were held following feedback from various stakeholders, including oil companies, on June 20, and petrol station operators on July 6.

"The ministry and the Finance Ministry are still considering all factors before implementing a new strategy," he said in reply to Wong Ling Biu (DAP-Sarikei) who wanted to know the problems arising from the implementation of the weekly controlled floating method in determining petrol and diesel prices.

Hamzah said the implementation of the new pricing strategy would also take into account the interests of all parties, including consumers' ability to pay.

On complaints from petrol station operators that they had suffered losses following the weekly pricing schedule, he said the government had taken initiatives to ensure acceptable losses.

Among them were encouraging operators to provide convenience stores at the petrol stations to help generate additional income and run promotional programmes to attract customers to the stores.

Hamzah said that with the rising world oil prices over the past few weeks, it was hoped that petrol station operators would not incur further losses until the new strategy was announced.