Next week’s RON95 price reduction should, in theory, be a win for everyone. Individuals will indeed feel a small lift, as every litre pumped costs a little less.
But will those savings show up in the price of goods and services you buy?
Don’t hold your breath; you might need it for the next “surge pricing” alert.
Ride-hailing platforms have perfected the bait-and-switch. They lure riders with bargain fares, then roll out “dynamic pricing,” a polite way of saying we’ll charge what we like when you need us most.
A cheaper pump price won’t rewrite that playbook. Drivers may smile at the savings, but platforms can just as easily pocket the difference or toss out a token promo for optics.
And it’s not just e-hailing. When distribution costs fall, you’d think relief might trickle into grocery aisles or delivery fees.
Instead it often evaporates, as supermarkets, logistics firms and retailers quietly enjoy a fatter margin while consumers wait for a discount that rarely arrives.
Markets treat upward shocks as ‘truth’ and downward ones as ‘margin recovery’.
Unless competition bites or regulators flex some muscle, the public rarely sees a single sen beyond what they save directly at the pump.
So as ministers cheer the new RON95 rate, let’s not confuse a headline drop with broad relief.
Cheaper fuel will trim your own refuelling bill, sure. But don’t expect the rest of the economy to pass on the favour.
The scale says zero, and that’s about what most households will gain beyond the pump.
Nevertheless, a vote of thanks to the powers that be would be in order.
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