RON95 and Diesel up by RM0.20 per liter

As of midnight tonight, Malaysians will have to pay RM0.20 more per liter of Petrol (RON95) and Diesel. This increase comes in after holding fast for nearly 3 years since 2010, with the news travelling fast through cyberspace (testament to the power of social media). What timing for such news, following Merdeka (Independence) Day, which was just 2 days ago....

RON95 and Diesel prices are subsidized by the Government taxpayers' contribution to the IRB, and with the reduction in fuel subsidies to RM0.63 and RM0.80, the projected savings are estimated to be in the region of RM3.3 billion annually.

As mentioned earlier, news travels fast these days. My colleague showed me an SMS on his cellphone, and counter-checking on the internet at a reliable source (good practice to counter-check for hoaxes), I found that this was true : http://www.thestar.com.my/News/Nation/2013/09/02/ron95-up-20-sen.aspx

After work, on the way home, I passed by the Petron gas station next to the 24-hour McDonald's (at the Melaka Mall), and found a massive traffic jam made up of cars waiting in line to refuel. This was not something I had not seen before - as this reaction was triggered each time there was a price increase announced.

Makes no difference to me, as I just refueled 2 days ago on the way back from town after bringing my family to watch the annual Merdeka Day Parade. By a simple calculation, you would only save 50 x price differential (RM0.20) or RM10.00, with the following assumptions:-

1. You have enough space in your fuel tank to fit in 50 liters (mind you that 50 liters is the size of the fuel tank in many family cars)
2. Not factoring in the time and fuel spent driving to the petrol station and waiting in line (and really, really long line it is)

The ugly consequences from greedy traders will be coming up soon, as even insignificant fuel price increases such as these will serve as excuses for them to increase the price of goods, food and services.

There are always those who will complain (ironically, they can afford cars, but not the fuel). For the rest of us, life goes on, with this reminder that things that we often take for granted (just like water) can have a big impact on our daily lives.

Meanwhile, I remind everyone out there, to drive in a more-fuel efficient manner (driving slow like a road hog actually uses more petrol) and when appropriate, use public transport or skip driving altogether (walk / cycle).