Gov’t reiterates that fuel subsidy bill is projected to be RM30 bil for 2022, based on current global oil prices

September 30, 2022

Ah, so about 0.6 1MDB then (USD 4.5 billion)

Dateline 2022-06-24, Paultan.org:

The government has reiterated that the country’s fuel subsidy bill for 2022 is projected to rise to about RM30 billion, based on global oil prices being what they are at present. In May, that projection for 2022 was placed at RM28 billion, but this was then revised to RM30 billion earlier this month.

Economy minister Datuk Seri Mustapa Mohamed said this would be 170% higher than the RM11 billion spent on fuel subsidies last year. He said that the year-to-date Brent crude oil price currently stands at around US$106 per barrel, a discrepancy of US$40 against the federal Budget 2022’s assumption that the average crude oil price would be priced at US$66 per barrel.


Targeted fuel, cooking oil subsidies in the works

August 16, 2022

Ah, debate date will track election dates:

Dateline 2022-06-07, FMT:

Malaysia has begun work on replacing its blanket petrol and cooking oil subsidies with a more targeted approach, as government spending rises to blunt higher living costs. “The target is to ensure that those who need subsidies will get the subsidies,” economic affairs minister Mustapa Mohamed said in a Bloomberg TV interview today. “The sooner it is done, of course, (the sooner) it will relieve pressure on the government’s budget.” The finance ministry had said on Friday that anticipated subsidies are expected to push the government’s total spending in 2022 “significantly higher”, by about RM30 billion.


Malaysia Says Fuel, Cooking Oil Targeted Subsidies in the Works

August 10, 2022

Dateline 2022-06-07, Bloomberg:

Malaysia has begun work on replacing its blanket petrol and cooking oil subsidies with a more targeted approach, as government spending rises to blunt higher living costs.

“The target is to ensure that those who need subsidies, will get the subsidies,” Economy Minister Mustapa Mohamed said in a Bloomberg TV interview Tuesday. “The sooner it is done, of course, it will relieve pressure on the government’s budget.”


Taking over Sapura Energy will depend on financial situation, says Tok Pa

July 7, 2022

Wait, what? PETRONAS is proposing this? What about our fabrication yards?

Dateline 2022-05-14, FMT:

The government must look at the country’s financial performance before considering the proposal for Petroliam Nasional Bhd (Petronas) to take over Sapura Energy Bhd (Sapura Energy) to prevent the oil and gas company from going bankrupt.

Economic affairs minister Mustapa Mohamed said careful consideration must be taken as the oil and gas industry is a strategic industry and taking into account that Sapura Energy is the world’s second largest integrated oil and gas service provider.


Govt to kick off 15 initiatives this year to grow OGSE industry

May 20, 2022

Hahahahahaha.

Dateline 2022-04-26, The Edge:

The Economic Planning Unit (EPU) and Malaysia Petroleum Resources Corporation (MPRC) plan to kick off 15 initiatives this year under the National Oil & Gas, Services and Equipment (OGSE) Industry Blueprint 2021-2030.

Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed said the 15 initiatives, aimed at strengthening and growing the OGSE industry, will continue to address systemic issues confronting the sector, specifically in the areas of technology, talent, and funding.

“EPU, alongside MPRC, will continue to work closely with ministries, agencies, Petronas, industry players and relevant stakeholders to realise the vision and goals set out in the OGSE blueprint,” he said at the second steering committee meeting for the blueprint.


Govt looking at targeted fuel subsidy mechanism, says Mustapa

May 19, 2022

This happen?

Dateline 2022-04-26, FMT:

The government is likely to introduce a targeted fuel subsidy mechanism, especially for the lower income group, to cushion the impact of rising crude oil prices.

Economic affairs minister Mustapa Mohamed said the government was still working on a suitable structure and expected it to be completed soon.

He also noted that the finance ministry was currently looking at whether the government was able to bear the subsidy as prices for RON95 petrol and diesel remained for the time being.


Minister: Soaring oil prices gives Malaysian govt room to continue fuel subsidies

April 13, 2022

Dateline 2022-03-06, The Malay Mail:

The soaring world crude oil prices currently gives some room to the government to continue providing fuel subsidies, says Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed.

However, he acknowledged that the price hikes due to the conflict between Russia and Ukraine would also see a rise in prices of other goods, especially imported items such as wheat and corn.

He said the government would continue to monitor the situation, adding that it would definitely pose a challenge to the country’s financial management.

“(The increase in oil prices) will increase revenue but some of the revenue will have to be channelled elsewhere. Estimates have not been made, but at the moment it only depends on assumptions.


As the world faces energy crisis, Malaysia’s energy industry still manageable, says minister

December 7, 2021

I’ve been out circulation, when did this energy crunch start?

Dateline 2021-11-17, NST:

The world is facing an energy crisis where the demand for energy commodities exceeds supply and this is causing volatility in short-term pricing with global spot prices for natural gas reaching the highest level this year.

However, the impact of the energy crisis on Malaysia has not been alarming.

On October 5, 2021, in the Dewan Rakyat, Minister in the Prime Minister’s Department (Economy) Datuk Seri Mustapa Mohamed assured that Malaysia has managed its energy security despite the price increase in energy commodities, namely coal and liquefied natural gas (LNG). 


Ringgit’s fall not due to Malaysia’s economy too dependent on oil and gas, says Mustapa

September 12, 2015

Yeah, you oil & gas folks.

Dateline 2015-08-09, Malay Mail:

The weakening of the ringgit is not due to Malaysia’s economy being overly dependent on the oil and gas industry as claimed, International Trade and Industry Minister Datuk Seri Mustapa Mohamed said.

On the contrary, he said the devaluation of the ringgit to 3.92 against the US dollar (on Friday) was due to the volatile foreign exchange market despite the slumping oil price.

“So the ringgit fluctuates everyday. Just like when we go to the market, it (the prices of perishable goods) depend on the supply and demand.