Subsidised diesel helps fishermen absorb costs, maintain prices

Subsidised diesel helps fishermen absorb costs, maintain prices

Fishermen and farmers say the targeted fuel subsidy is necessary to ensure that only those who truly deserve it reap the benefits.

Fishermen at the Sungai Kelanang jetty in Banting, waiting their turn to fill their tanks with diesel before heading out to sea.
KUALA LANGAT:
The government’s targeted diesel subsidy initiative, implemented on June 10, has not only curbed incidents of fuel smuggling but also helps fishermen maintain their prices for the local market.

Fishermen in Kampung Kelanang, Banting, are among the thousands nationwide who have been receiving diesel assistance through the Fisheries Development Authority of Malaysia since 2006. This assistance helps offset part of their operational costs due to rising oil prices.

Zanizam Ismail.

Jetty chief Zanizam Ismail, 43, said that Grade A (drift net) and Grade B (trawl net) licensed fishermen consider themselves fortunate as they still receive 1,500 litres of subsidised diesel per month at RM1.65 per litre, despite the government announcing several months ago that diesel prices would be floated in Peninsular Malaysia.

Since the government’s announcement in June, diesel has been sold for RM3.35 per litre.

Sabah and Sarawak are exempted from the targeted diesel subsidy programme, with the price maintained at RM2.15 per litre.

“Every time they go out to sea, fishermen must declare by scanning their identification cards before they are allowed to fill up their tanks with diesel.

“This way, all fishermen registered with us receive the subsidised fuel,” Zanizam told FMT, adding that this helps prevent the abuse of government assistance.

The subsidised diesel received by registered fishermen is stored in tanks such as these.

He said the fuel subsidy helps fishermen absorb operational costs and benefits consumers by keeping fish prices stable.

“Since 2007, the price of fish has been maintained at around RM14 to RM18 per kg. The price of fish has not increased, but the price of fishing equipment has gone up beyond our control.

“We hope Nekmat (the National Fishermen’s Association) will look into this matter,” he added.

Meanwhile, the RM200 monthly assistance through the Budi Madani programme which also benefits smallholders helps them cope with their daily operating costs.

sahmat
Sahman Durait delivers his harvest to a nearby oil palm collection centre.

Small-scale oil palm farmer Sahman Duriat, 56, said he usually spends around RM500 on diesel each month to transport his harvest to the nearby collection centre.

“The RM200 monthly aid from the government helps smallholders cover some of their diesel costs,” said Sahman, who has been cultivating oil palm in Bestari Jaya for over 10 years.

To register for Budi Madani, visit https://budimadani.gov.my or any nearby Inland Revenue Board branch.

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