The retail prices of ron97 petrol:3 period, the Ministry of Finance (MOF) said.
According to BERNAMA News Agency, the retail price of RON97 will rise to RM4.85 per litre from RM4.50, while unsubsidised RON95 will increase to RM4.37 from RM4.02, and unsubsidised diesel will climb to RM5.27 from RM4.92. The ministry attributed the increase in global fuel prices to heightened tensions in West Asia amid ongoing conflicts, now in their 200th day.
The statement detailed that Iran's attacks on 10 vessels near the Strait of Hormuz, in retaliation for US strikes on five Iranian tankers, had escalated the situation. These attacks also targeted Yemen and Saudi Arabia's energy infrastructure, causing vessel traffic through the Strait of Hormuz to decrease significantly.
The situation further deteriorated when drone attacks led to the temporary suspension of operations along the East-West Pipeline in Saudi Arabia, a crucial route that bypasses the Strait of Hormuz. These developments have driven Brent crude oil prices back above US$100 per barrel, reaching nearly US$110 per barrel during the Automatic Pricing Mechanism (APM) calculation period.
MOF highlighted that disruptions in Russia's refining capacity and constraints on crude oil supplies continue to limit the production of refined petroleum products, maintaining high refining margins and exerting upward pressure on global petroleum prices. The ministry warned of prolonged volatility in global petroleum prices due to escalating tensions in West Asia and the Russia-Ukraine conflict.
The MADANI Government remains committed to shielding the public and businesses from global uncertainties. They will maintain the targeted BUDI MADANI subsidies for eligible consumers. Under BUDI95, recipients will pay RM1.99 per litre for RON95, with the government subsidising RM2.38 per litre, or 54 per cent of the unsubsidised price. For BUDI Diesel, recipients will pay RM2.10 per litre, with a government subsidy of RM3.17 per litre, covering 60 per cent of the unsubsidised price.
The government recently increased the basic monthly eligibility limit for BUDI95 and BUDI Diesel to 300 litres, effective September 1. Eligible owners of diesel-powered pickup trucks and jeeps will receive an additional 100 litres, bringing their total monthly eligibility to 400 litres. The ministry affirmed that the MADANI Government would continue to adopt a prudent approach to protect the public from price fluctuations while ensuring a sufficient and secure national fuel supply.