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May 31, 2008

Fuel sales ban starts Monday

A temporary curb on foreign motorists buying fuel at Malaysian petrol stations will begin on Monday, two days later than earlier planned, Reuters quoted local media reports as saying Saturday.

A Domestic Trade Ministry official said the change was made to allow all parties involved to be ready.

"This is to ensure that all parties involved in the implementation of the rules, including traders and users especially foreigners, understand the guidelines," Iskandar Halim Sulaiman was quoted as saying by Berita Harian.

Malaysia had earlier said filling stations in its towns bordering Singapore and Thailand would be temporarily barred, starting Saturday, from selling fuel to foreign-registered vehicles in a move aimed at curbing the abuse of subsidies.

Hundreds of Thai and Singapore motorists cross into Malaysia daily to seek cheaper diesel and petrol.

The Malaysian authorities have said the ban would be lifted when a new fuel subsidy mechanism is in place to ensure that only deserving Malaysians receive the subsidies.

More on Malaysia


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