Minister Mah says cutting petrol taxes not the way to cushion
rising oil prices
Posted: 21 June 2008 2024 hrs
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SINGAPORE: National Development Minister Mah Bow Tan has
said the government cannot reduce petrol taxes despite the soaring
oil prices.
He warned against taking the subsidy route, noting that even
countries like China and Malaysia have started to re-think their
policies on this.
Mr Mah was speaking on the sidelines of a community event on
Saturday.
As pump prices here continue to rise, some Singaporeans are
wondering why the government is not stepping in to cushion the
impact by cutting petrol taxes.
The government has always maintained that petrol duty - currently
about 40 cents for every litre - is meant to promote public
transport and curb excessive use of cars.
Mr Mah said: "If you price it wrongly, if you subsidise anything,
people will tend to use it more or people will tend not to use it
as efficiently as possible and that is going to raise the demand.
Once you raise the demand, I think that is in turn going to cause
prices to go up even higher."
So instead of lowering taxes, Mr Mah said Singapore's strategy is
to change habits and attitudes to cut down on energy
consumption.
"If you are a motorist, how do you cut down (energy consumption)?
Reduce the number of trips, if possible. Car pool, if possible.
Better still, take public transport," he said.
Mr Mah was speaking to reporters on the sidelines of a dialogue
session with Tampines residents.
To help reduce energy costs at the township level, he said, the
Tampines Town Council is looking at replacing all lights in common
areas with energy-saving ones.
The chit-chat session was instituted two years ago as a way for Mr
Mah, who is the Tampines Grassroots Organisation adviser, to meet
residents in a more informal and smaller setting.
Hence, a lot of municipal issues were raised, one of which was the
issue of safety in the light of the recent spate of molest cases in
the neighbourhood. To address this, Mr Mah said the town council
will seriously look into installing CCTV cameras in blind spots and
secluded areas around the neighbourhood. - CNA/ir
The government has always
maintained that petrol duty - currently about 40 cents for every
litre - is meant to promote public transport and curb excessive use
of cars.
----> .To promote
public transport and curb excessive use of cars?????
Joker Mah. Pap will have less earning by
cutting petrol taxes. PAP will not resort to anything
that will reduce their profit making. NObody is
asking for subsidy, cut the taxes on petrol during this difficult
time will help lighten the load.
