GST

Dear editor,

Appreciate if you can publish this proposal

It’s good that the public are having discussion on GST, subsidized goods, the missing foreigners, the petrol pricing and the use of MyKad to assist in differentiating between the subsidized / unsubsidized user.

Actually, I’m a bit pessimistic in most of the current inflation related issues. I’m worried of the flip flop repercussion of any decision. As in the past we hv seen, government decision made and later we saw the change of mind of such critical decision due to public empathy. I would like to propose on petrol pricing for one. I’m sure many Malaysian understand the disadvantages of subsidized mentality in the economic sense. As we are going into a high income economy, subsidizing of essentials must be kept to a minimum and these saved resources should be allocated to this new economic spending area such as in R&D, biomedicine, branding etc... Lets take for example how in the USA, petrol prices are charged at the pump? States that are producing oil such as in Texas, the prices are cheapest. And states that are further from the refineries are the most expensive.
I’m not sure how MyKad can assist in these prices? As you know, states such as wilayah, selangor, Penang n Johor should not hv any subsidies at all. Their cost of living is higher compared to Kelantan or Perils. Maybe all of the users pay the minimum at RM1.80 / liter for low income per capita states. And those state with higher capital income, all the road users pay at a maximum of RM2.10 / liter. This would better improve the current distribution of capital resources. Even with the current pricing and MyKad usage, I doubt it will be fair and stop pilferages? Let’s, give this formula a try. There won’t be any incentives for Singaporean to travel all the way to Melaka just to get a cheaper petrol price for by the time they travel back to Singapore their petrol tanks are back to square one. And for those users in kelantan and perlis, issues such as smuggling to the border will still happen irregardless of monthly rationing or with MyKad. Beside this formula, the normal enforcement processes should be seen to take place.

Ras
Setiawangsa