Traders may use subsidised LPG until regulation amendments finalised
Domestic Trade and Cost of Living Minister Armizan Ali said no legal action will be taken against this group of traders during the transition period.
'Small and micro food and beverage traders...
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New Straits Times
17 hours ago
- New Straits Times
Perak KPDN busts LPG syndicate, six detained
BATU GAJAH: The Perak Domestic Trade and Cost of Living Ministry (KPDN) has busted an illegal liquefied petroleum gas (LPG) decanting operation, detaining a 35-year-old local man and five Myanmar nationals believed to be his workers. The raid, conducted yesterday under Ops Gasak 2025, was the result of a week-long intelligence operation targeting suspected misuse of controlled goods. KPDN director Datuk Kamalludin Ismail said officers found 1,899 LPG cylinders, weighing 14kg each, at the premises. "We seized all 1,899 cylinders, comprising 871 filled and 1,028 empty units," he said, adding that the total seizure amounted to 18,194kg of LPG, with an estimated market value of RM66,508.60. Kamalludin said that decanting is the illegal process of transferring LPG from subsidised 14kg cylinders into other containers, often to be sold at higher, non-subsidised rates for commercial use. The premises had no valid licences or documents under the Control of Supplies Act 1961. He said a 35-year-old local man, believed to be the owner, was detained along with five Myanmar nationals, who were suspected to be workers. The syndicate reportedly sourced subsidised 14kg LPG cylinders from wholesalers across Perak and other states. The gas was transferred to bulk tanks, from which lorries would refill and deliver to commercial clients, such as factories and hotels. Kamalludin said the price gap between the subsidised rate of RM1.90 per kg and the market ceiling price of about RM5 per kg created a lucrative opportunity for the syndicate, which sold to industries at slightly below market rates. He said the syndicate had only been operating for about a month before the authorities intervened, adding that this was one of the largest LPG-related raids in Perak this year. Individuals found guilty of such offences could face fines of up to RM1 million, three years' imprisonment, or both. Corporate offenders may be fined up to RM2 million for a first offence and RM5 million for repeat offences. KPDN's commitment to curbing the illegal distribution and misuse of controlled goods would continue under Ops Gasak 2025.
The Sun
a day ago
- The Sun
Cost of living, MLFF among key issues in Parliament today
KUALA LUMPUR: Government efforts to ease the cost of living, the implementation of the Multi Lane Free Flow (MLFF) toll system, and the issue of reciprocal tariffs imposed by the United States on Malaysia are among the key matters scheduled for discussion in the Dewan Rakyat sitting today. According to the Order Paper published on the Parliament's website, during the question-and-answer session, Datuk Syed Abu Hussin Hafiz Syed Abdul Fasal (PN-Bukit Gantang) will ask the Minister of Domestic Trade and Cost of Living to state the measures taken by the National Action Council on Cost of Living (NACCOL) to help reduce the cost of living. Shaharizukirnain Abd Kadir (PN-Setiu) will pose a question to the Works Minister on the status of MLFF toll collection implementation, besides seeking clarification on improvements to systems such as Radio Frequency Identification (RFID) to ensure the new system's effectiveness. Datuk Seri Dr Wee Jeck Seng (BN-Tanjung Piai) will raise a question to the Minister of Investment, Trade and Industry regarding the status and effectiveness of negotiations between Malaysia and the United States on the implementation of reciprocal tariffs. He also asked for government assurances that the move would not adversely affect trade, supply chains or the small and medium enterprise (SME) sector in Malaysia. Yeo Bee Yin (PH-Puchong) will question the Minister of Youth and Sports on key improvements introduced by the ministry in the National Youth Consultative Council and the significant proposals made by youths, as well as the ministry's efforts in conveying these proposals to the government. Mohd Nazri Abu Hassan (PN-Merbok), meanwhile, will ask the Minister of Housing and Local Government whether the ministry had allocated special provisions to state governments or related agencies to manage solid waste and clean up illegal dumping sites outside the jurisdiction of local authorities. Following the question session, the Dewan Rakyat will resume the debate on the 13th Malaysia Plan (13MP), which was tabled by Prime Minister Datuk Seri Anwar Ibrahim last Thursday. The current Dewan Rakyat sitting takes place over 24 days until Aug 28. - Bernama
The Star
a day ago
- The Star
Cracking down on LPG misuse
PUTRAJAYA: The Domestic Trade and Cost of Living Ministry is intensifying enforcement against the misappropriation of subsidised liquefied petroleum gas (LPG) through 'decanting', which has been identified as one of the main causes of subsidy leakage, says Datuk Fuziah Salleh (pic). The Deputy Domestic Trade and Cost of Living Minister said the ministry is taking the issue seriously and enforcement under the Ops Gasak initiative is being ramped up to prevent irresponsible parties from exploiting government subsidies. (Decanting is the process of illegally transferring LPG from subsidised cylinders to commercial cylinders.) Fuziah said the focus of Ops Gasak on decanting follows the discovery of several cases involving individuals or entities posing as legitimate businesses or wholesalers but who divert subsidised LPG to industrial use. 'We found that the syndicate transfers subsidised LPG from 14kg cylinders, which cost RM26.60 each, into non-subsidised cylinders of the same size, which are sold at RM70 per unit. 'This significant price difference highlights the substantial profits that can be gained through such illegal practices, making it a major form of subsidy leakage that the authorities are tackling on a large scale,' she said in an exclusive interview with Bernama recently. She cited a recent case in Johor where the ministry uncovered decanting activities that were carried out under the guise of legitimate LPG wholesale operations. 'The individuals involved have been arrested and found to have committed offences under the Supply Control Act 1961. Strict enforcement action has been taken,' she said. Fuziah added that Ops Gasak is currently being implemented nationwide, except in Sarawak, where LPG enforcement falls under the state's ordinance and jurisdiction. She explained that Ops Gasak also aims to ensure that subsidised LPG is used solely by eligible households and micro-entrepreneurs, in line with the government's targeted subsidy policy. 'In terms of the law, there is no defect, but there was misuse by the wholesaler who supplied subsidised LPG to unqualified parties such as industries. 'So in this case, it is highly likely that the wholesaler who committed the offence will have to be held responsible. 'We have sufficient regulations to protect this subsidy, but there are still parties who abuse it,' she said. Prior to this, Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali announced that Ops Gasak would run from May 1 to Oct 31. The initiative is part of the broader Kita Gempur movement, launched on Oct 19, to combat the manipulation and leakage of subsidised goods.
