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ADUN SPEAKS | Soon after the Finance Ministry announced the implementation of the targeted diesel subsidy initiative on June 10, I received a lot of public feedback on this.Maybe many reached out to me because before I was elected as an assemblyperson, I was involved in the plantation industry for many years.As we know, the country’s plantation sector uses diesel heavily. A lot of machinery in plantation estates is diesel-powered like tractors, harvesters and generators.
The government has also expanded the list of land transport vehicles eligible for fleet cards, which enable operators to continue purchasing diesel at subsidised rates. Those in the list include school buses, express buses, taxis and general cargo lorries.In theory, when we manage transportation costs, we mitigate the risk of rising prices of goods and services. In other words, the decision to float diesel prices should not bring about inflation - at least on paper.
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