Malaysia is renowned for having the third highest petrol subsidy in the world, and a recent price comparison has sparked controversy among Indonesians, with many expressing envy.
According to infographics by an Instagram account, BigAlpha, the price of RON95 petrol in Malaysia is RM2.05 per litre. In contrast, RON90 costs 10,000 Indonesian rupiahs per litre (approximately RM3.06) in Indonesia.
The RM2.05 per litre price tag in Malaysia is among the lowest globally, undercutting even major oil-producing nations like Saudi Arabia, selling it at RM2.94 per litre.
The notable disparity in petrol prices between Malaysia and Indonesia primarily stems from Malaysia being an oil-exporting nation, whereas Indonesia relies on oil imports.
Additionally, Indonesia’s composition of numerous islands contributes to higher oil transportation costs compared to Malaysia.
Regarding government subsidies for petrol, the Malaysian government has allocated subsidies totalling RM81 billion. In contrast, Indonesia’s subsidies amount to 29 billion ringgit.
The post also highlighted that Singapore has the highest fuel price among ASEAN countries.
In the comments section, some Indonesians expressed their dissatisfaction, questioning the reasons behind the price differences.
“Malaysia, with 32 million people, subsidizes fuel and LPG (Liquefied petroleum gas) up to 260 trillion, while we, with 260 million people, subsidize only 90 trillion,” one comment read.
Meanwhile, some pointed fingers at political issues.
“Petronas once learned from Pertamina… now Petronas has gone global, our Pertamina? Busy with political matters, the top positions are not filled by professionals in oil and gas, positions are gifts with no clear direction for Pertamina, subsidies for the people are always the excuse… so that’s how we manage our state-owned company..”
“We don’t have enough refineries to distil oil; that’s why we still import a lot. Whose fault is it? It’s the fault of those who left us this legacy from the past. We have oil fields, but the processing is all done abroad.”
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