Wednesday, December 15, 2010

Recent 4 in 1 price hike is avoidable!

Let me begin by clarifying that I’m a non partisan youngster in this country.

Our Prime Minister has recently explained that the 4 in 1 price hike (Ron 95, Diesel, LPG, Sugar) is unavoidable because it helps Malaysia to save up to RM1.0 billion.

Wow, RM1.0 b is definitely not a small amount of money. “If this is the case, then this 4 in 1 price hike is definitely of something unavoidable, to prevent our country from bankrupt!” I thought to myself.

However, I was flabbergasted by reading online news that recently reported: Federal government is subsidizing RM800++ million and RM700++ million to PLUS highway for the past 2 years just to stop the toll fees from hiking. Why? Why? Why? Why should we subsidize PLUS? Are they not making profit? I wonder. However, as I read through, they reported: PLUS has paid the taxes of RM400++ million yearly for the past 2 year. Oh my goodness, I don’t think it’s a challenging task for us to figure out how much a company is making on its profit by knowing the RM400++ million of tax amount they paid. Why should we subsidize a giant company which is making huge profit? I keep wondering. What’s this 30 years contract all about?

2 years of subsidies to PLUS sum up to approx. RM1.5 billion while the savings from 4 in 1 price hike is RM1.0 billion. Hence I can safely conclude that the 4 in 1 price hike is avoidable, if we could eliminate the signing of unfair agreement with PLUS at the beginning.

While there were many arguments recently on the performance of Pakatan Rakyat State Government. To me, Pakatan is thousand times better than BN government so long as they did not signed such an insane contract and to subsidize the giant company with the people’s hard earn money. Do you agree?