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PKR rebukes opposition leader Hamzah Zainudin for urging a delay in diesel subsidy reform, calling his stance misleading and fiscally irresponsible.

KUALA LUMPUR: Parti Keadilan Rakyat has condemned opposition leader Datuk Seri Hamzah Zainudin’s statement on the diesel subsidy issue. The party’s deputy secretary-general, Sivamalar Genapathy, said the remarks do not reflect current economic facts and risk misleading the public.

He said the statement repeats an old, emotional narrative while ignoring the necessity of subsidy reform for the nation’s fiscal sustainability. The previous blanket subsidy system was plagued by serious leakages costing billions annually.

Sivamalar noted that much of the subsidised fuel was not enjoyed by locals but was misused through smuggling and by ineligible parties. He accused the previous administration of leaving this leakage issue unresolved during its mandate.

“The targeted implementation of diesel subsidies is important to close the leakage,” he said in a statement. He argued it ensures subsidies are only enjoyed by those who truly deserve them.

He urged for the claim that diesel price adjustments will burden the people to be viewed responsibly. The targeted subsidy also ensures critical sectors like logistics, public transport and agriculture remain protected through a special government mechanism.

Sivamalar highlighted that the government maintains the subsidised price of RON95 at RM1.99 per litre. This is compared to the market price of RON97 at around RM3.85, protecting the majority despite global oil price pressures.

The government has implemented various mitigation measures to control the cost of living chain effect. This includes an early payment of the Rahmah Cash Contribution totalling RM1.3 billion to 5.2 million recipients ahead of Aidilfitri.

Special assistance was also channelled to civil servants, retirees and veterans. Appreciation payments were made to more than 70,000 imams, bilals, KAFA teachers and mosque management staff.

Sivamalar said proposals to postpone subsidy reform may sound popular but do not resolve fundamental issues. He stated such an approach reflects a lack of clear direction.

“If you really want to protect the people, present a clear, comprehensive and implementable mitigation plan,” he said. He advised against causing concern or creating narrow perceptions.

Hamzah had previously said the diesel price increase to RM4.72 per litre should not be implemented now. He proposed it be postponed until after Aidilfitri or done in stages.

 The Sun Malaysia

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