logo
Misleading posts claim Malaysian government 'removed gas subsidies for all businesses'

Misleading posts claim Malaysian government 'removed gas subsidies for all businesses'

Yahoo4 days ago

"The government has lost its mind. Gas subsidies for businesses have been removed. Small business owners feel like they cannot raise prices again after multiple cost increases," reads a Malay-language Facebook post on June 2, 2025.
The claims surfaced after the Domestic Trade and Cost of Living Ministry (KPDN) announced a five-month operation beginning May 1 to curb the use of subsidised liquified petroleum gas (LPG) by the commercial and industrial sectors, as well as to crack down on illegal decanting activities (archived link).
It also said businesses will no longer be allowed to use subsidised cooking gas and will need to switch to commercial gas cylinders, which cost three times the price of household cylinders (archived link).
The launch of the operation prompted lawmakers to claim it would cause small businesses to increase prices for consumers, with one opposition lawmaker calling it "robbery" by the government.
Similar claims were shared elsewhere on Facebook, and in a group with more than 35,000 members.
Users left comments indicating they were misled, with one saying: "The current government is not helping people but adding to the burden."
Another said: "The government has gone too far."
However, the operation does not target small businesses.
KDPN minister Armizan Mohd Ali refuted the misleading claim in a statement released via state news agency Bernama on June 3, saying the main purpose of the operation was to combat illegal decanting activities, smuggling of LPG and the use of subsidised gas by large and medium-scale industries (archived link).
"Through this operation, there are no new policies and regulations, let alone cuts and abolishment of LPG subsidies as claimed by certain parties," the statement said.
Instead, small businesses using less than three cylinders of the subsidised gas a day are allowed to keep using the cheaper product, while larger commercial operations using more than three at any one time would require a permit and cannot purchase subsidised gas, the minister said.
The Communications Ministry's Department of Information issued a similar clarification on Facebook on May 31 (archived link).
Penang Hawkers Association chairman Ooi Thean Huat told AFP that small businesses in the northern state typically only need up to three gas cylinders a day, allowing them to use the subsidised 12kg cylinders, which are sold for 26 ringgit ($6 USD).
However, Ooi noted that even switching to the unsubsidised cylinders would not lead to price hikes for customers.
"If we use the non-subsidised cylinders, two a day should be enough. There will be no changes to the prices of food because you do get more gas with the commercial cylinders," he said.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

We will do everything we can to save Alexander Dennis jobs, vows Swinney
We will do everything we can to save Alexander Dennis jobs, vows Swinney

Yahoo

timean hour ago

  • Yahoo

We will do everything we can to save Alexander Dennis jobs, vows Swinney

The Scottish Government will do 'everything we can' to support jobs at bus manufacturer Alexander Dennis, the First Minister has said. The company announced on Wednesday it is proposing to consolidate its UK operations at a single site in Scarborough, North Yorkshire. The decision puts 400 jobs at risk at its facility in Falkirk in another blow to the Forth Valley, which has already seen more than 400 jobs go at the Grangemouth refinery this year. Speaking at First Minister's Questions on Thursday, John Swinney said he is 'deeply concerned'. He told the chamber: 'This issue has been occupying a great deal of the focus and the attention of the Deputy First Minister and I and the UK Government ministers since we became aware of the situation over the last few weeks, and then ultimately to the decision that was announced yesterday.' He said his Government has 'supported' the manufacturer. But Scottish Labour leader Anas Sarwar accused Holyrood ministers of overlooking Scottish industry in favour of ordering buses from China, while pointing to the order from Alexander Dennis of around 160 vehicles by the publicly-owned network in Greater Manchester. In Scotland, public service buses are procured by private operators, who then run them on routes across the country. Mr Swinney said state aid regulations – in the form of the UK-wide Subsidy Control Act – prevent the Government from directly procuring from a single supplier like Alexander Dennis. He quoted a joint letter from the UK and Scottish governments, which pledged to 'work closely with Alexander Dennis at this challenging time'. He added: 'That's us indicating that we're keen to do everything we can to find a way through the Subsidy Control Act provisions, so the Government can continue to operate within the law, which we must do, but also, we can support manufacturing in Scotland, which is my priority.' Speaking to journalists after First Minister's Questions, Mr Swinney said the possibility of a furlough scheme for staff impacted by the announcement – as suggested by Scottish Secretary Ian Murray on Wednesday – is on the table. In the chamber, Mr Sarwar said: 'If John Swinney can't figure out a way to order buses in Scotland, I suggest he picks up the phone to (Greater Manchester Mayor) Andy Burnham and see how he managed to do it. 'Almost five times as many bus orders from Manchester.' Mr Sarwar's claim stems from the second phase of the Scottish Government's green bus initiative ScotZEB, which ordered 44 buses from Alexander Dennis. However, according to a press release from the time, 137 buses were ordered from the firm in the first phase, amounting to a total of 181. In a statement, Mr Burnham – who has visited the Falkirk site – said: 'Our iconic Bee Network buses are a bit of Scotland right here in Greater Manchester. 'We have over 160 Alexander Dennis buses criss-crossing our city-region every day – connecting our communities to opportunity. 'If Greater Manchester can invest in world-class Scottish bus manufacturing, then why can't the SNP Scottish Government?' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

Starmer accused of using private school VAT raid to ‘house illegal migrants'
Starmer accused of using private school VAT raid to ‘house illegal migrants'

Yahoo

timean hour ago

  • Yahoo

Starmer accused of using private school VAT raid to ‘house illegal migrants'

Sir Keir Starmer has been accused of using private school VAT cash to 'house illegal migrants' after he suggested the policy would fund Labour's house-building Prime Minister wrote on X, formerly Twitter, yesterday that the decision to levy 20pc VAT on private school fees had allowed the Government to make the 'largest investment in a generation' to affordable housing. Laura Trott, the shadow education secretary, accused Sir Keir of taxing children's education to build homes which would be 'given away' to migrants. Labour has long-maintained that its controversial VAT raid, which has already seen dozens of schools close as a result, would be used to improve state schools. But this week it was forced to abandon its manifesto promise to hire 6,500 new state school teachers. Yesterday, the Prime Minister tweeted how the 'tough choice' on VAT had paid off. Ms Trott described the post as 'madness.' She told The Telegraph: 'Labour needs to come clean with the public. Not only have they broken their promise to hire 6,500 more teachers but now they are taxing British children's education to build homes that will be given away to illegal migrants. 'The sums don't add up. It's children, parents and teachers in the state sector who'll pay the price for Labour's ideological agenda.' The Treasury hopes to raise £1.5bn from its VAT raid this year, rising to £1.7bn by 2029-30. In December, Chancellor Rachel Reeves told reporters 'every single penny' of the £1.5bn it hoped to raise from the private school VAT raid would be ring-fenced for state education. In an interview with ITV, Ms Reeves was asked: 'Will all of that money be ring-fenced for state schools?' She replied: 'Yes, every single penny of that money will go into our state schools to ensure that every child gets the best start in life.' Kemi Badenoch, the Conservative leader, said her party had opposed the VAT raid because it was 'terrible policy'. She said: 'It has forced schools to shut, sending thousands of pupils into state schools that are now struggling for space, teachers and money you didn't account for. 'You said every single penny would go into state schools, but now it's housing?' Questions have also been raised over whether the Government's forecasts are accurate. It was revealed last week that four times as many pupils left private schools last year than was predicted. In the spending review, Labour said it would spend £4bn by 2029-30 on its Affordable Homes Programme. It also vowed to stop housing asylum seekers in hotels by 2029, raising suggestions these people would instead be moved into social housing. Rachel Reeves said she was providing a 'cash uplift' of more than £4.5bn for schools between now and 2029. However a large proportion of this is as a result of the decision to extend free school meals to 500,000 more children. When this figure is removed, the core budget for schools will rise by 0.4pc over the next three years. Julie Robinson, chief executive of the Independent Schools Council, said: 'Throughout the debate on VAT, schools were promised that the money raised – if any – would go to state education. We have seen the rhetoric on this watered down to 'public services' and now the revelation that it will now pay for housing. 'We are in the worst-case scenario, one that we have warned about since the introduction of this policy: real damage has been done to independent education without any benefit to state schools, who are also facing further cuts. It is children who will lose out as a result.' The Treasury was approached for comment. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store