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Government has to look after interest of all
V.K.Chin
Tue, Jan 22, 2008
The Star

MALAYSIANS are more concerned with the rising cost of living than when the next general election is to be held. Their worry is understandable since the prices of goods have been going up.

If this is happening even though there has been no reduction in subsidies, then we can only image the difficulty when such support is withdrawn.

In the case of fuel subsidy, it is no longer a question of if, but when. This is inevitable, especially as the price of crude oil is at a three-digit level.

The Government will try to delay this as long as possible but it is a losing battle. Consumers must brace themselves for this eventuality and change their spending habits and lifestyle.

With the Government pouring RM40bil (S$18bil) into subsidies, the status quo cannot remain for long without a serious drain on its financial resources. It cannot keep on subsidising consumers at the expense of halting development projects that benefit all.

Fuel subsidies form the bulk of the handouts, and it should not be the duty of the Government to look after only car owners while ignoring the plight of the majority, especially those in the lower-income group who are really struggling to survive.

But people are so used to cheap petrol and diesel that they will not accept the new reality without showing displeasure. Nobody likes to pay more to maintain their present lifestyle, where a motorcar is essential.

Well, they will have to adjust, either limit usage to save petrol or change to a smaller, fuel-efficient vehicle. It is interesting that analysts still believe sales of private vehicles will increase this year despite the gloomy fuel outlook.

They must know something we don't, and only time will tell whether their prediction is correct. But don't bet on it since the picture is still quite murky at present. Still there's hope that their prediction will come true.

The only reason for wanting to know the election date is that fuel subsidies are expected to be lowered after the event. However, the Government can be counted on to minimise the impact of this exercise.

When it comes to development, there is a tendency for many people to think only in terms of peninsular Malaysia. They tend to forget about Sabah and Sarawak, which are still relatively undeveloped.

These two states have contributed much to the national coffers, especially in oil royalties, and Putrajaya has to spend part of this money to develop the basic infrastructure in these areas.

Their interests and welfare cannot be ignored, and they need tens of billions so that facilities can be developed, similar to what is enjoyed by people in the peninsula.

Except for some cities and towns, the basic necessities that we take for granted in this part of the country is still lacking.

Such development is expensive and it will be a very long time before the infrastructure can be on par with the rest of the nation. It is the duty of the Federal Government to keep its part of the bargain in the Malaysian spirit.

 

 
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