BOOM!! RON95 & RON97 Cheaper By 35 Sen – Here’s Why You Shouldn’t Be Happy



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Jan 01 2015
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According to AAA National Average Prices, they are now US$2.257 a gallon for regular gasoline. The cheapest gasoline today in Oklahoma was reportedly selling at US$1.57 a gallon for regular gasoline. Remember when we wrote about Crude Oil WTI taking a short nap at US$55 a barrel before going south? Well, as of time this article is being drafted, the WTI is trading at US$52.67, while the Brent is trading at US$56.08 a barrel.

 

At US$1.57 a gallon, that would be roughly about £1.01 or RM5.49 a gallon or 3.785 litre. In terms of litre, that would be around £0.27 or RM1.45 every damn litre (*grin*). In Oklahoma, the gasoline and other taxes are at 16 cents (£0.10; RM0.56) and 1 cent for every gallon. That’s roughly about £0.026 or RM0.148 of taxes for every litre. Of course, this is the price for regular gasoline, which is grade-87 in the U.S.

Oklahoma Regular Gasoline Gas Station Below $2 A Gallon - $1.57 A Gallon

Before you scream till foam at mouth about apple-to-apple comparison and all those craps, grade-87 gasoline in America can be used to power turbo-charged engine, mind you. Besides regular gas, there’s also midgrade gas (grade-89) and premium gas (grade-92) in the United States. So, go figure why the Malaysian government is selling RON95 and RON97 to the public. Could the public be conned into buying lower grade of gasoline in reality (*grin*)?

 

Let’s take the highest grade of gasoline in Oklahoma into calculation. At US$1.89 a gallon for Premium Gas (grade-92), that would translate to about £1.21 or RM6.61 a gallon. That’s roughly about £0.32 or RM1.75 a litre. And this is the price for the best grade of gasoline together with guaranteed profits for gas stations, government taxes, distribution and marketing costs, in the United States.

Oklahoma Premium Gasoline Gas Station Below $2 A Gallon - $1.89 A Gallon

In short, the lowest grade-87 regular gasoline and highest grade-92 premium gasoline in Oklahoma, U.S., are selling at RM1.45 and RM1.75 a litre today. Starting January 1, 2015, the lowest RON95 and highest RON97 gasoline are selling at RM1.91 and RM2.11 a litre in Malaysia – both down RM0.35 a litre. Meanwhile diesel is down RM0.30 to RM1.93 a litre. Can you see how much Malaysians are being ripped-off?

 

Why can’t Malaysian’s RON95 be used in high performance cars when United States’ grade-87 or grade-89 can? Have ignorant Malaysians been fed with equivalent grade-87 or grade-89 gasoline but marketed as RON95? Assuming U.S. top gasoline – premium grade-92 – is equivalent to RON95 or even RON97, that’s still a huge rip-off, of between RM0.16 to RM0.36 every single litre.

Malaysian RON95 and RON97 Petrol Gasoline

This is the clearest proof that Malaysians have been subsidizing the government since the so-called managed float system started last month, without them realise it. You can bet your last penny that the considerable huge price drop of RM0.35 a litre will be used as a new political propaganda in the government-controlled media to boast about how caring Najib administration is, when it should have lower the price much earlier.

 

If whistleblower Rafizi Ramli’s calculation is correct, the public had paid RM402 million in taxes for RON95 petrol and RM231 million for diesel alone in December 2014. That means the government made a cool profit of more than half a billion in that month. And if Malaysian government continues to rake in the same amount of profit every month, it will fill the government’s coffer to the tune of RM7.5 billion every year.

Rafizi Ramli

So, before you cheer and applaud the government’s latest move shedding 35 sen every litre of gasoline, think about how much they’ve been quietly and secretly ripping you off. Perhaps now you understand why we had written earlier how 30 sen a liter of petrol goes into UMNO regime’s pocket – guaranteed. People should actually thank whistleblower such as Rafizi Ramli, also a MP for Pandan. Without him bitching and whining, the drops could be by a paltry 5 sen or 9 sen only, going by UMNO convention.

 

But the biggest problem is not about UMNO making a guarantee killing of RM0.30 for every litre you pump into your car. Nor was it about the government selling you lower grade gasoline but marketed as higher grade. The biggest problem is the drop in gasoline or petrol price will “never” followed by any drop in other consumer goods. From a plate of economy mix-rice, baby milk powder, school bus transportation to electricity rate – not a single item becomes any cheaper.

Malaysian People Subsidizing Najib Administration

The Brent Crude Oil price closed yesterday at US$56.79 a barrel. The last time the oil price traded roughly the same price was exactly 8-years ago in January 2007, before it shot to US$146 a barrel in July 2008. Ask yourself this: Are consumer goods, cost of education and overall cost of living any cheaper than 8-years ago, if not the same? When gasoline goes up, everything goes up immediately, using infamous excuses such as higher transportation cost.

 

Now that petrol comes down by RM0.35 a litre, will you ever see a single item coming down in prices? Nyet, is the answer. This trigger another curiosity – what the heck is the government enforcement agencies have been doing? Sleeping on the job? Or working hand in glove with those scumbags ripping off consumers’ hard-earned money? Amusingly, there’re still millions of ignorant and dumb Malaysians who actually applaud today’s 35 sen drops in gasoline.

Char Kuey Teow

And if you think people should be grateful for the latest petrol prices drop, don’t be. Not only the government should have reduced it much earlier, it should also be a lot cheaper. In case you’re not thinking straight, now that there’s no more subsidies in gasoline, your government is still ripping you off by selling world’s second most expensive cars. Guess what, Najib administration is actually sodomising you both ways – profiting from gasoline and car prices.

 

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Comments

Why can’t Malaysian’s RON95 be used in high performance cars when United States’ grade-87 or grade-89 can? Have ignorant Malaysians been fed with equivalent grade-87 or grade-89 gasoline but marketed as RON95?

Dude, you can easily research octane rating on Wikipedia and it will tell you that Ron 92 (used in Indonesia) is the equivalent of grade 87 and Ron 97 is the equivalent of grade 92. It’s just different octane rating standards, not “marketing” bullshit. You could have easily researched this and you didn’t, says a lot about your educated opinion. If you want to be objective about the government, do it right. Or you’d be just as bad as the biased newspapers we have.

Thanx ResearchPlease … of course I’ve done my research … so you’re saying RON92 = grade-87, and that means RON95 should be of higher grade than grade-87 (perhaps grade-89) rite?

But why your higher grade-89 can’t be used to turbo-charged engines without causing problems here while U.S. version of grade-87 can?

Perhaps you can enlighten us?

Cheers …

I’m no expert, but not all cars are made the same. Some cars can take regular gas and some can only take premium gas. There are some turbo-charged cars out there that can take regular gas, it depends on the engine. That’s why the carmaker will list out the gas requirements in the manual. The link below shows a few turbo cars that can take regular gas, which means Ron 95 as well. Bear in mind, that gas requirements are based on the carmaker and not the government.

http://blogs.cars.com/kickingtires/2014/03/which-luxury-cars-dont-recommend-or-require-premium-gas.html

Most luxury cars require premium gas, but there are exceptions which I’m guessing is where you got the idea since you don’t mention which car you’re using as the base of your comparison.

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