Petros LPG cannot be sold at lower price as controlled item

Abang Johari giving his remarks at the launching of Petros LPG.

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KUCHING, Dec 2: Petroleum Sarawak Berhad (Petros) will not be able to sell its liquified natural gas (LPG) cylinders cheaper than those sold by other providers as it is a controlled item, said Chief Minister Datuk Patinggi Abang Johari Tun Openg.

However, he hoped that over time, the price could be reduced once distribution becomes more efficient.

“The price is fixed because it is subsidised. It’s a controlled item. The cost is actually over RM50 and they are selling it at RM26.50 per cylinder.

“But over time, if it is more efficient in terms of transportation, I think we can reduce the cost. But it will depend on on the cost of retailing,” Abang Johari told reporters after launching Petros LPG at Kubah Ria, Satok here today.

However, the price of LPG per cylinder in rural areas is still more expensive than in urban areas due mainly to transport and logistic costs.

On gas distribution which Sarawak has the right to implement, the Chief Minister revealed that the state is moving towards a more efficient way of distributing it state-wide using gas distribution pipes similar as in Miri and parts of Bintulu.

“But we can’t do it straight away….it takes time. It’s (now) in the planning stage. That’s why I said something just now that there is something that I want to do but I can’t reveal it (yet),” he said.

Abang Johari said it would be implemented in due time so as to ensure that Sarawak would have efficient distribution of LPG.

“We will do it in due time as everyone needs it,” he said. — DayakDaily