If you are using RON 97 petrol, then you need to pay extra 20 cents to RM 2.70 per litre effective midnight of April 1, 2011. Luckily, the price of RON 95 is remaining the same at RM 1.90 per litre else more Malaysia citizens will suffer.
Last year, our government had announced that the price of RON 97 will be based on the international oil market without subsidiary. Based on current oil prices, we know that the global oil price was increased to US$114 per barrel. I still remember the previous highest RON97 price is at RM 2.70 in year 2008, when global oil prices hit a record high of US$121 per barrel.
What’s going on with our oil price again? The price of crude oil has increased sharply to its highest since year 2008 financial crisis at US$105.40/barrel on 25th March 2011. In perspective, the price of crude oil averaged US$79/barrel in year 2010. According to market researcher, the price of crude oil will continue to climb for the whole of this year.
With this crude oil price heading north, there’re concerns that it will affect our country economic recovery. Based on research house assessment, the global growth may drop 0.5% if the crude oil increased from US$95 to US$105 per barrel. If the crude oil further increasing then we will suffer the inflation issue and dampen our domestic demand as well as economic growth.