There government of Malaysia provide subsidy of RM650 for middle and low range car. This is not what we want. The price of fuel reach ceiling high and it might break the roof in a few weeks time. Now, we can only dream of getting $100/barrel.
The best choice is to switch to alternate fuel source instead of depending gasoline. NGV (Natural Gas) is the best source. The government should subsidy motorcar users for their NGV transfer process. The process cost of installing NGV in your existing gasoline type is RM3000 to RM10,000 per unit. If the government wants to follow the market value of petrol and subsidy for lower income people. They should give subsidy and compensation to convert NGV.
The rate of RM3,000 – RM10,000 is very high for middle to low class people and end up paying high petrol price. If the government can absorb at least 50% – 70% of the cost of conversion or provides us with free NGV transfer service, I’m sure 100% of motorcar, lorry, bus, everything that runs on petrol will change to NGV. Because the cost of NGV is RM0.68/per liter compared to petrol RM2.70/per liter and diesel RM2.50/per liter.
I’m thinking of changing to NGV also of my Naza RIA. My monthly normal oil consumption used to be RM 600 now reaches more than RM1000 with new pricing. I think NGV is a great alternate source as long as the government don’t raise Natural gas price.
Plus, the government should also give license to sell natural gas to many petrol stations. Right now, only limited number of Petronas gas station have license to sell natural gas. This is the best alternate choice now and the government should provide license to at least 2 to 3 stations each town and rural areas to sell Natural gas for NGV converted vehicles.
imDavidLee,
There is always a risk when dealing with petroleum products. Just need to be extra careful choosing the service provider who is installing NGV. Don’t opt to cheapest services available in the market. An average rate is more reasonable.
wong,
Yes. It is the tactics of pushing petrol. If all the vehicles in Malaysia use Natural Gas, then there won’t be any usage of petrol. I’m sure by this time, government will raise the natural gas price as well to maybe $2.70/liter (currently $0.68/liter). Kelantan state have made a request to directly pipeline from Thailand for the natural gas to lower the cost. It will be good if the government approve.
The government have increased the petrol price. The way the compensate this by giving away money on road tax renewals is not a wise idea. I don’t know which idiot have suggest it and I don’t know how the Parliament have approved it also.
They should proposed to increase the availability of alternate fuel solutions and help their people to share the burden by providing free/highly discount modifications before the petrol hike itself. That won’t cost high as the government willing to pay RM650 per vehicle. I’m sure, there has been discussions and etc in Parliament over the global crude oil hike from last year. And, this is the best solution that they come with?
I don’t know who have advice this solution, but they have put us all in deep problem. Don’t worry, this is just the beginning. We will see almost all the sectors will increase their price and our existing long-term investors will opt to China/India (cheapest labor cost) or Venezuela (Cheapest petrol $0.16/liter). There are already many who have shifted their manufacturing units to China from Malaysia.
Government still like this la… A taxi driver once told me that there is only 7 station has NGV. I don’t understand, NGV was launch for saving the environment, but there’s just not enough NGV stations!
yeah..good analysis of NGV vs Fuel price…but is it too risky to try since it use gas rather than gasoline..i scare under certain level of pressure, then it may impact our vehicle..could it be?
kinshuk,
They are doing their best to commercialize, but very slow.
i think Malaysian govt can think of alternatives of NGV, but some kind of research is yet to be done ..
which can make NGV like substitute as soon as possible….
Yeah… I was thinking about that yesterday. Government should look into alternative resources and as you said NGV is not affected by the price hike. Government should subsidized the installation and it should not cost in thousands but should be in hundreds so that people can afford the conversion.
At least the Malaysian government is doing something. you (Malaysians) and SIngaporeans are the only first worls countries in SEA… In Philippines, I have read today that a kilo of rice reached or is already equivalent to RM3.23 when it is a basic life-supporting product. More expensive than your liter of petrol.
You are still much lucky to be a Malaysian. I was there twice last year and your country is much better, except the news I read sround regarding minority issues.