FUEL CAP RULE MALAYSIAN STYLE FOR GHOSTS

When I first heard about this new rule in the news, I laughed my ass off.

First of all, how are you able to implement something like that in Malaysia?
1. Malaysia is always good at announcing new rules and policies but terrible at implementation, it will fail before it even started.
2. There will always be tonnes of loopholes before it even started.
3. Why will petrol station owners abide this rule to prevent them from making money? Most petrol station owners if not all are very powerful people who you will not even want to touch.
4. Petrol stations in Johor Bahru are not aligned in one straight line like how it is in Brunei. If you travel into Brunei from Miri, there is always a sequence or order of which petrol station you will reach first before the next. Implementation of fuel cap there is successful because of this alignment and because probably the owners are the person who set the rules too. People who drives there will know you can't pump more than B$8 per entry.

One of the news report below show a way to bend the rules. Let me paste it here to highlight to you.
SOME Singaporeans have quickly found ways to circumvent the ruling allowing foreigners to buy only 20 litres of petrol within 50km of the border. Sin Chew Daily reported that they would use credit cards issued by Malaysian banks to fill up. Another way was to pay cash for the first 20 litres and use their credit card for the rest. A third method was to fill up 20 litres from one petrol station and proceed to another for another 20 litres, reported the daily. Some Singaporeans would fill up at a petrol station and return 15 minutes later to pump petrol again. A petrol station employee in Tebrau said there was no way to check if the Singaporeans had already gone to a petrol station to fill up before they go to another petrol station.

Read the news report below and see how they plan out some stupid rules which is impossible to be applied. Some stupid statements I picked up:

“The enforcement officers will stop any vehicle they suspect, and if it is found to have more than 20 litres of petrol we can seize the vehicle,” Ismail told reporters after a product launch, here, today. (How do you know if they enter Malaysia with at least 20 litres of fuel or more? Even if they have a sophisticated machine to measure, which I bet they don't, how do they know these cars pump at least some amount from Singapore before entering?)

To make the current scheme work, the Domestic Trade, Cooperatives and Consumerism Ministry said it will deploy personnel to monitor the nearly 500 petrol stations at Malaysian borders. That means we are spending money to make sure others don’t enjoy our cheap fuel that much. (Right, I see no one and is this cheaper? Will these personnels be bribed?)

Then, few days later, they announce something new for Singaporean registered cars. I guess because they don't have a way or manpower to check anyway.
But vehicles from Singapore are exempted from checks to ensure that they comply with the rule. This is because all Singapore-registered cars must have three-quarters of a tank of fuel when leaving the country. Che Halim clarified yesterday that Shell V Power is not affected because it is not a subsidised product. It is classified as a premium product and is priced at market level. “There is no subsidy for this product,” he said. Shell V Power is the only premium product available in Malaysia. It costs RM2.25 a litre, while RON95 petrol — used by most cars — costs RM1.80. RON97 costs RM2.05 and diesel RM1.70. (Shell V Power is the only fuel most Singaporeans pump in Johor Bahru. That's why it is only available in Johor Bahru. Any Tom, Dick and Harry knows that. Therefore, this policy is meant for nobody.)

The cap is an attempt to curb the leakage of subsidised fuel to neighbouring countries where the fuel’s retail price is much higher, while the government works out a new mechanism to restructure the subsidy. Kuala Lumpur has said that by May next year, only targeted Malaysian consumers will be allowed to buy cheap fuel, while the rest will pay market price. The mechanism has not been disclosed but it will use the identity card to determine the target group. (Well, they just don't know how to implement it that's why it is not disclosed. Let's wait and see. My bet is there will be nothing exciting.)

Then, suddenly this report below. Confusing isn't it? As what I have said above, Malaysia's implementation only ends up in chaos. Nobody knows what is the real rule anymore.
Singapore-registered vehicles have been exempted from the 20-litre cap, a move that has been welcomed by various quarters here. Johor Baru MP Datuk Shahrir Samad said it was an excellent decision as the ruling allowing foreigners to buy only 20 litres of petrol within 50km of the border was impractical.

The 20-litre cap took effect on Wednesday, but The Star newspaper reported the next day that state officials had confirmed Singapore vehicles were exempt. A check on 10 petrol stations by The Sunday Times last Friday also revealed that two stations had not received any word from their petrol companies about the fuel cap on foreign vehicles. One of the owners said: “I heard about the fuel limit for foreign vehicles from the media, but there was no official notification from the government or my petrol company. “Now there's this newspaper report that it does not apply to Singapore cars.”


The rates at Shell with the pathetic English that can make me vomit blood. All Singapore car is not allow to fuel more then 20 litre. As you can see, the rate of V-Power RM45 has been canceled.


Most Singaporeans don't understand Malay and yet they put this disclaimer purely in Malay. Perhaps it is too complicated to translate.
If overshoot the limit that is being set, the vehicle owner will be fined RM100,000 and the vehicle will be confiscated by the Kementerian Perdagangan Dalam Negeri (Ministry of Domestic Trade)

Kementerian Perdagangan Dalam Negeri's Orders / Instructions


V-Power For Foreign Car No Limit
It is a norm and a common knowledge for everybody in Johor Bahru, including idiots that most if not all Singaporean cars come into Johor Bahru to pump V-Power petrol. In other words, this 'fuel cap exercise' is meant for ghosts.

Foreign vehicles exceeding 20L fuel limit face seizure
KUALA LUMPUR, Dec 17 — Foreign vehicles travelling across the border which fail to comply with the 20-litre fuel cap will be confiscated, said Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Ismail Sabri Yaakob.

He said the stern action was to curb smuggling of diesel and petrol at the border areas.

“The enforcement officers will stop any vehicle they suspect, and if it is found to have more than 20 litres of petrol we can seize the vehicle,” Ismail told reporters after a product launch, here, today.

The 20-litre fuel cap on foreign vehicles travelling within a 50km radius from the border was implemented yesterday.

A petrol station operator in Bukit kayu Hitam was the first to face action yesterday after the ruling was enforced.

Ismail said the ruling was expected to continue until a new mechanism on fuel subsidy is implemented in May next year. — Bernama

Fueling nonsense
DEC 17 — The authorities yesterday implemented a 20-litre fuel cap ruling for foreign vehicles refuelling within 50km of the country’s borders — be it with Thailand, Singapore, Indonesia and Brunei.

Well, Brunei doesn’t count since fuel is cheaper in the sultanate.

What the ruling essentially meant was that foreigners can no longer enjoy the kind of fuel subsidies that Malaysians get from the government.

Well and good. And it is a temporary solution until the government figures out a better subsidy scheme that possibly involves using the MyKad next May.

To make the current scheme work, the Domestic Trade, Cooperatives and Consumerism Ministry said it will deploy personnel to monitor the nearly 500 petrol stations at Malaysian borders. That means we are spending money to make sure others don’t enjoy our cheap fuel that much.

One can only hope having them watch over the petrol stations, some over 24 hours a day, is cheaper than the outflow of cheap petrol.

Otherwise, it’s a waste of money. And there is nothing to stop motorists in foreign cars from refuelling 20 litres a time at several petrol stations. Or use local vehicles to smuggle fuel across borders.

Lo, and behold! The authorities have a solution to motorists in foreign vehicles attempting to circumvent the new ruling. They are now stopping foreign vehicles carrying more than 20 litres of fuel within the same 50km radius.

“The enforcement officers will stop any vehicle they suspect, and if it is found to have more than 20 litres of petrol we can seize the vehicle,” Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Ismail Sabri Yaakob was quoted as saying by the Bernama news agency.

He said the stern action was to curb smuggling of diesel and petrol at the border areas.

A petrol station operator in Bukit kayu Hitam was the first to face action yesterday after the ruling was enforced.

But the question is, can Malaysian authorities seize vehicles for the offence of having more than 20 litres of fuel? How will they even check to see if a vehicle is carrying “more than 20 litres”?

What about the Singaporeans who can only leave their island-state with a fuel tank that is more than three-quarters full? Do their vehicles get seized as soon as they cross the border?

If they are caught between the devil and the deep blue sea, they might not drive over. At least that will clear the traffic-choked Causeway.

But the multiplier is worse. Border cities and towns will lose business in a still-soft economy.

All just to make sure others don’t get cheap petrol. Will Malaysia stop them from buying sugar, too? Isn’t this nonsensical?

Perhaps the only way is to wean us off subsidies. And use the money instead to buy up tolled highways and other rent-seeking projects that cut our disposal income.

The minister must have answers for this ruling that is bound to put off foreign motorists from crossing over. It might even fuel corruption for them to get away without having their vehicles seized.

Or are we in the silly season already?

Fuel sales cap in force at borders
KUALA LUMPUR, Dec 29 — The 20-litre cap on fuel sales to foreign-registered vehicles within a radius of 50km of Malaysia’s borders is in effect despite some teething problems that led to confusion, an official said yesterday.

But vehicles from Singapore are exempted from checks to ensure that they comply with the rule.

This is because all Singapore-registered cars must have three-quarters of a tank of fuel when leaving the country.

Domestic Trade Minister Datuk Seri Ismail Sabri Yaakob had previously said this meant that many Singapore vehicles would have more than 20 litres of fuel when entering Malaysia. If their trip was just a short one, they would still have a substantial amount of fuel left.

Malaysia also shares land borders with Thailand, Indonesia’s Kalimantan province in east Malaysia, and Brunei.

Johor’s Domestic Trade Department director Che Halim Abd Rahman told The Straits Times yesterday the directive, which took effect on Dec 16, has been issued to all petrol stations in the restricted zone.

The 20-litre sales cap covers the RON95 and RON97 petrol grades and diesel, all of which are subsidised by the government.

Che Halim clarified yesterday that Shell V Power is not affected because it is not a subsidised product. It is classified as a premium product and is priced at market level.

“There is no subsidy for this product,” he said.

Shell V Power is the only premium product available in Malaysia. It costs RM2.25 a litre, while RON95 petrol — used by most cars — costs RM1.80. RON97 costs RM2.05 and diesel RM1.70.

The cap is an attempt to curb the leakage of subsidised fuel to neighbouring countries where the fuel’s retail price is much higher, while the government works out a new mechanism to restructure the subsidy.

Kuala Lumpur has said that by May next year, only targeted Malaysian consumers will be allowed to buy cheap fuel, while the rest will pay market price.

The mechanism has not been disclosed but it will use the identity card to determine the target group.

The government subsidises about 30 sen of every litre of petrol. Fuel and food subsidies eat up a big chunk of the annual budget, with an estimated RM20.9 billion expected to be spent next year.

Che Halim said his department has sent officials to monitor the situation and has not received reports of any breach in Johor.

But there have been breaches along the Thai border.

A petrol station operator in Bukit Kayu Hitam in Perlis was the first to be hauled up after officials found a Thai-registered truck trying to smuggle out 300 litres of diesel.

The truck had installed four additional fuel tanks. The suspect was arrested, while the truck and diesel were seized. — The Straits Times

Credit card way to bend 20-litre fuel cap rule
Friday December 25, 2009

SOME Singaporeans have quickly found ways to circumvent the ruling allowing foreigners to buy only 20 litres of petrol within 50km of the border.

Sin Chew Daily reported that they would use credit cards issued by Malaysian banks to fill up.

Another way was to pay cash for the first 20 litres and use their credit card for the rest.

A third method was to fill up 20 litres from one petrol station and proceed to another for another 20 litres, reported the daily.

Some Singaporeans would fill up at a petrol station and return 15 minutes later to pump petrol again.

A petrol station employee in Tebrau said there was no way to check if the Singaporeans had already gone to a petrol station to fill up before they go to another petrol station.

Wednesday December 30, 2009
Singaporeans okay with fuel rule
By FARIK ZOLKEPLI

JOHOR BARU: Singaporeans who frequent Johor Baru say the ruling that allows foreigners to buy only 20 litres of petrol within 50km of the border is not a problem for them.

Businessman Toh Peng Ting, 66, said 20 litres of petrol was more than enough for him to travel around Johor Baru and its surrounding areas.

“Singaporeans are required to have three quarters of their petrol tank full before entering Johor anyway.

“I use an average of four litres to travel to Skudai and I will still have a full tank after filling 18 litres of petrol,” Toh, who comes to Malaysia three times a week, told The Star here yesterday.

The former Singapore Airlines technician said Singaporeans who travelled to Malacca or Kuala Lumpur could still fill up their petrol tanks as they are beyond the 50km radius.

“I accept and respect the ruling as it has not caused any inconvenience,” he said, adding that he was baffled by all the fuss over the ruling.

Meanwhile, 66-year-old Indonesian Janti Susanto, who is a Singaporean Permanent Resident, agreed that the ruling was not a hassle for Singaporeans.

“Personally, I feel that the ruling does not cause problems for Singaporeans.

“I enter Malaysia at least two times per week. Even with the fuel cap, the amount of petrol was still more than enough,” she said.

Meanwhile, Johor Baru MCA Public Complaints Bureau deputy chief Michael Tay said the ruling was never meant to inconvenience the foreigners, especially Singaporeans.

“They can still use the Shell’s V-Power as it is exempted.”

Johor Domestic Trade, Co-operatives and Consumerism department director Che Halim Abd Rahman said that the department had not received any report of errant petrol station operators.

“So far, all petrol station operators are abiding by the ruling,” he said.

Thursday December 17, 2009
Johor folk welcome fuel cap ruling, others feel 20 litres not enough
By FARIK ZOLKEPLI and AUSTIN CAMOENS

JOHOR BARU: Singapore-registered vehicles have been exempted from the 20-litre cap, a move that has been welcomed by various quarters here.

Johor Baru MP Datuk Shahrir Samad said it was an excellent decision as the ruling allowing foreigners to buy only 20 litres of petrol within 50km of the border was impractical.

“It would have caused congestions at the Sultan Iskandar Customs, Immigration and Quarantine (CIQ) and the Second Link,” said the former Domestic Trade and Consumer Affairs Minister.

State Ministry of Domestic Trade, Co-operatives and Consumerism director Che Halim Abd Rahman confirmed the exemption.

Singaporean Patrick Ng, 56, said even if the ruling had been implemented, it would not have affected most Singaporeans travelling to Johor.

In Bukit Kayu Hitam, the 20-litre ruling received mixed reactions from motorists through the Malaysia-Thai border.

Sutham Charchan, 68, a retired bus driver from Haadyai, said he was not concerned as long as he could purchase fuel anywhere.

Housewife Siti Aishah Abdullah, 39, however, complained that 20 litres was too little for her to commute from Haadyai to her house, saying: “By the time I reach my house, I have to fill petrol again.”

Meanwhile, Bernama reported that a petrol kiosk operator here was the first offender of the 20-litre ruling.

Domestic Trade, Cooperatives and Consumerism Ministry’s Kedah enforcement chief, Suhaimi Mat Sari said offenders could be fined up to RM100,000 or three years’ jail or both while kiosk operators could be fined RM250,000 and have their licence revoked.

Confusion in Johor over fuel sales cap
JOHOR BARU, Dec 20 — Petrol station operators in Johor are confused but are taking the safe way out by implementing the 20-litre fuel limit for foreign vehicles despite news that Singapore-registered cars are exempt.

The 20-litre cap took effect on Wednesday, but The Star newspaper reported the next day that state officials had confirmed Singapore vehicles were exempt.

A check on 10 petrol stations by The Sunday Times last Friday also revealed that two stations had not received any word from their petrol companies about the fuel cap on foreign vehicles.

One of the owners said: “I heard about the fuel limit for foreign vehicles from the media, but there was no official notification from the government or my petrol company.

“Now there's this newspaper report that it does not apply to Singapore cars.”

Introducing himself only as Ong, he said he will not limit the amount of fuel he sells to foreign vehicles until he is officially informed of the new rules.

An Esso station is also not implementing the limit for the same reason.

Its boss said: “It's all very confusing right now, with some petrol companies saying one thing and the newspapers saying something else and the national government not clarifying matters.”

He did not want to be named as he felt the subject was sensitive.

A kilometre away along Jalan Tebrau, another Esso station was diligently enforcing the fuel limit.

Its cashier, M. Milon, 22, said his employer received a letter about the fuel cap from the petrol company on Thursday.

“To stay out of trouble, we do what we are told,” he added.

The new rules stipulate that foreign vehicles should not take in more than 20 litres of fuel at petrol stations within a 50km radius of the border.

This is to curb smuggling of petrol and diesel in border areas.

Malaysia's fuel prices are much lower than those in neighbouring Singapore and Thailand because of a RM40 billion annual subsidy.

On Friday, many Singaporeans appeared unaware of the new fuel limit.

Computer engineer Alvin Yeo, 32, who was driving to Kuala Lumpur with his wife and daughter, stopped at a Shell station along Jalan Tebrau some 10km from the border.

He was warned by a pump attendant to keep within the 20-litre limit, but it was a full tank after only 17 litres.

All Singapore cars heading into Malaysia must abide by a three-quarter tank rule and for most cars, this is equivalent to about 35 to 40 litres of fuel.

Another 20 litres after the drive across would bust most tanks' capacity.

It is also for this reason than Singapore-registered vehicles are exempt from border checks on their fuel status when returning from Johor.

“Even without pumping any petrol here, my car will have more than 20 litres in it, so how can they check if I had kept within the limit?” said A. Remy.

The 42-year-old MRT station manager drives to Johor once a month to shop for groceries — and to fill his tank with some cheap petrol. — The Straits Times