THE Domestic Trade and Consumer Affairs Ministry has put off plans to penalise eateries that use government-subsidised domestic liquefied petroleum gas (LPG) in their businesses.
However, factories, hotels and other larger-scale business entities which are required to use commercial LPG are not exempted, deputy minister Chong Chieng Jen said in Kuching today.
Eateries such as restaurants, coffee shops and small food stall operators will be allowed to use domestic LPG, he said, because it was “not the right time when people are facing economic hardship”.
The ministry recently issued letters to all eateries requesting that they use commercial LPG as the government-subsidised domestic LPG is meant for household use.
Chong said there are strong reactions and “anxiety” from operators who complained that the move will raise their cost of doing business and the price of food served.
Domestic LPG is sold at RM 1.90 per kg in the portable 14kg cylinders while the non-subsidised commercial LPG is sold at RM3.10 per kg, in 50kg or 200kg cylinders, or in bulk.
Recently, some suppliers came up with the initiative to produce 12kg and 14kg cylinders for commercial use.
The price for the commercial LPG is not subsidised and fluctuates according to market price.
Chong said last year, the government spent RM2.198 million in subsidies for domestic LPG. – March 29, 2019.
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