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SAPP calls for flat RON95 retail price in Sabah, citing operational burdens

KOTA KINABALU, Wednesday, 24 september 2025:

Sabah Progressive Party (SAPP) Information Chief, Chin Vui Kai, today issued a strong statement challenging the federal government to prove its sincerity in assisting Sabah’s economy by implementing a flat rate for RON95 fuel.

“If the federal government is truly sincere about assisting and maintaining a stable economy in Sabah, it must keep RON95 at a flat rate for all consumers,” Chin said.

He stated that the government’s new targeted subsidy, which establishes a two-tiered pricing system (RM1.99 for citizens and RM2.60 for others), is an unnecessary and burdensome policy that overlooks Sabah’s unique realities.

“The government’s intention to prevent subsidy leakage is well-meaning, but it fails to recognise that the problem is not significant here.

“Unlike other parts of the country, cross-border traffic with foreign-registered vehicles is minimal. The main flow is with Brunei, and they already have lower fuel prices (BN$0.36, or RM1.18 per litre) than Malaysia, so there is no economic incentive for them to buy our fuel,” he explained.

He stressed that a single, flat rate would be a far more practical and efficient solution, benefitting not only the public but also local businesses.

“This two-tiered system places an undue burden on both consumers and petrol stations. It will require more personnel to verify identities for different rates, slowing down service and adding to operational costs for local businesses,” he added.

Chin called for a pragmatic approach, advocating for a flat rate of RM1.99 per litre for all users in Sabah, in view that Sabah is a oil-producing region. He argued this would be a superior alternative to both the current two-tiered system and the previous RM2.05 flat rate.

“The RM1.99 price for all would be a direct and meaningful way to reduce the cost of living for every Sabahan.

“SAPP has always stood for policies that are tailored to Sabah’s specific needs and challenges, and we urge the federal government to prove its sincerity by implementing a simpler, more effective approach that truly benefits our people,” he concluded.

Chin Vui Kai
SAPP Information Chief