Latest news with #KhairulAnnuarAbdulAziz
Malaysian Reserve
2 days ago
- Business
- Malaysian Reserve
Fuel station operators push for delay in subsidy control mechanism
THE government should postpone the implementation of the Petrol Subsidy Control System (SKPS) until two critical issues related to it are resolved. The President of the Petrol Dealers Association of Malaysia (PDAM), Datuk Khairul Annuar Abdul Aziz, said the two issues concern margins under the automatic pricing mechanism (APM) and the merchant discount rate (MDR) charged by payment card companies. He said the APM margin, unchanged since 2019, no longer reflects current costs, causing small and medium-sized operators to suffer losses from day one of the SKPS rollout. 'In addition, the government needs to look into the MDR issue, which is based on sales value, while dealers' commission is based on litres sold. 'Increases in pump prices will raise the MDR, but they do not increase commissions, which ends up eroding dealer margins,' he said in a statement yesterday. Previously, Prime Minister Datuk Seri Anwar Ibrahim, when presenting Budget 2025, gave an assurance that the introduction of targeted RON95 subsidies would not impact 85% of Malaysians. In response, Khairul Annuar expressed hope that the association would be able to meet with Anwar, following two years of unsuccessful attempts to do so. 'We believe that only through the direct leadership of the Prime Minister can a concrete solution be reached to ensure the sustainability of local fuel dealers and guarantee fuel supply for the public,' he said. According to Khairul Annuar, PDAM represents the voices of more than 60% of petrol stations nationwide. 'PDAM is always ready to cooperate with any party in advocating for the interests of this industry in a comprehensive and fact-based manner,' he said. — TMR
The Star
3 days ago
- Business
- The Star
Delay RON95 subsidy rationalisation until two issues ironed out, petrol dealers urge govt
PETALING JAYA: Delay the implementation of the RON95 targeted petrol subsidies until two core issues affecting petrol dealers are resolved, says the Petroleum Dealers Association of Malaysia (PDAM). Its president Datuk Khairul Annuar Abdul Aziz said that it was crucial that the issues be addressed as the rollout of the RON95 rationalisation plan would impact petrol dealers, particularly the small and medium operators. The two issues, he said, were the margins related to the Automatic Pricing Mechanism (APM) and Merchant Discount Rate (MDR). "The fixed dealer margin, unchanged since 2019, no longer reflects current operating costs. "Without a margin revision, small and medium-volume station operators will face losses from the very first day of the RON95 subsidy rationalisation implementation," he said in a statement on Tuesday (June 3). He added that the MDR charges are calculated as a percentage of the sale price, while dealers' commissions are based on litres sold. "As pump prices increase under RON95 subsidy rationalisation, MDR rises accordingly, but dealer commissions remain static, resulting in further erosion of margins," he said. Khairul noted that despite multiple requests over the past two years by PDAM for a meeting with Prime Minister Datuk Seri Anwar Ibrahim, no meeting had been forthcoming. "We believe that only through direct leadership from the Prime Minister, can a sustainable and balanced resolution be achieved. "One that ensures the continuity of local dealer operations and the security of fuel supply to the public," he said. He added that a nationwide petition initiated by PDAM to seek help in resolving the two issues had garnered over 2,300 verified signatures, representing more than 60% of petrol stations nationwide which includes 70% of major branded stations such as Petronas, Shell, Petron, Caltex and BHPetrol. PDAM represents some 4,000 petrol stations nationwide and is the umbrella association representing eight petrol dealers associations in the country.
Daily Express
3 days ago
- Business
- Daily Express
Delay RON95 subsidy rationalisation, says petrol dealers group
Published on: Tuesday, June 03, 2025 Published on: Tue, Jun 03, 2025 By: FMT Reporters Text Size: Finance minister II Amir Hamzah Azizan recently announced that the RON95 subsidy rationalisation would begin in the second half of the year. PETALING JAYA: The Petroleum Dealers Association of Malaysia (PDAM) has called on the government to delay rationalising RON95 subsidies until critical issues affecting station sustainability are addressed. PDAM president Khairul Annuar Abdul Aziz, whose association represents more than 4,000 petrol stations nationwide, said dealer margins, fixed under the automatic pricing mechanism, had not been revised since 2019 and no longer reflected current operating costs. He also voiced concern over the merchant discount rate (MDR) imposed on card payments, which increases as fuel prices rise but leaves dealers' per-litre commissions untouched. 'Without a margin revision, small and medium-volume station operators will face losses from the very first day of the RON95 subsidy rationalisation implementation,' he said in a statement today. 'And as pump prices increase under the rationalisation, the MDR rises accordingly, but dealer commissions remain static, resulting in a further erosion of margins.' Finance minister II Amir Hamzah Azizan recently announced that the subsidy rationalisation would begin in the second half of the year. Prime Minister Anwar Ibrahim said the cuts would mainly target foreigners and Malaysia's top 5% to 10% of income earners. Khairul also took aim at a group representing Bumiputera fuel retailers, which claimed there had been no consultation with dealers on the rationalisation plan. He dismissed the claim as 'inaccurate and misleading', saying PDAM was the government-recognised umbrella body for petrol dealers and had been in formal talks with the domestic trade and finance ministries. 'We urge all stakeholders to put aside differences and unite behind a common objective: to support a fair and sustainable targeted subsidy system without neglecting the economic realities faced at the operational level,' he said. * Follow us on our official WhatsApp channel and Telegram for breaking news alerts and key updates! * Do you have access to the Daily Express e-paper and online exclusive news? Check out subscription plans available. Stay up-to-date by following Daily Express's Telegram channel. Daily Express Malaysia
![[UPDATED] Govt urged to defer RON95 subsidy rationalisation implementation](/_next/image?url=https%3A%2F%2Fassets.nst.com.my%2Fimages%2Farticles%2FHQ300624AZ010_%25282%2529_1748920316.jpg&w=3840&q=100)
![[UPDATED] Govt urged to defer RON95 subsidy rationalisation implementation](/_next/image?url=https%3A%2F%2Fassets.nst.com.my%2Fassets%2FNST-Logo%402x.png%3Fid%3Db37a17055cb1ffea01f5&w=48&q=75){kind=small}
New Straits Times
3 days ago
- Business
- New Straits Times
[UPDATED] Govt urged to defer RON95 subsidy rationalisation implementation
KUALA LUMPUR: The Petroleum Dealers Association of Malaysia (PDAM) has urged the government to postpone the implementation of the RON95 subsidy rationalisation until two critical issues that directly affect the sustainability of the industry are resolved. Representing operators of 4,000 petrol stations nationwide, the association warned that these unresolved concerns could threaten the viability of petrol station operators, particularly those running small and medium-volume outlets. Its president, Datuk Khairul Annuar Abdul Aziz, said one of the issues involves the Automatic Pricing Mechanism (APM), which no longer reflects current operating costs, having remained unchanged since 2019. "Without a margin revision, small and medium-volume station operators will face losses from the very first day of the RON95 subsidy rationalisation implementation," he said in a statement. The second issue, Khairul Annuar said, relates to the Merchant Discount Rate (MDR). "MDR charges are calculated as a percentage of the sale price, while dealers' commissions are based on litres sold. "As pump prices increase under the RON95 subsidy rationalisation, MDR rises accordingly, but dealer commissions remain static, resulting in further erosion of margins." Second Finance Minister Datuk Seri Amir Hamzah Azizan had recently announced that the rationalisation of RON95 fuel subsidies would be implemented in the second half of this year. He had also said the Finance Ministry would continue with the subsidy rationalisation process, with the current focus on identifying the groups eligible to receive the subsidies. On another matter, Khairul Annuar also criticised a group claiming to represent Bumiputera fuel retailers, which alleged that no consultation had taken place with dealers regarding the rationalisation plan. "The claim that there has been no consultation with station operators is inaccurate and misleading to the public. "As the only association that has represented the industry for over 40 years, we remain guided by the principles of collaboration and transparency. "PDAM is open to working with any party that genuinely seeks to advance the interests of the industry based on facts and responsible engagement, without misrepresenting public perception or politicising sensitive issues."
