Fuel hike crisis,time to give Pakatan a chance

Adopting a more transparent financial management

The fuel price hike that came into effect on June 5 was not something that was unexpected but the quantum of increase and the abrupt way it was implemented caught all Malaysians by surprise. There was no space given for the people to prepare for this sudden increase in their expenditure. It has suddenly thrust a huge burden especially on those from the lower income group who are already finding hard to make ends meet.

While the increase may be inevitable, why was no warnings given? What measures did the government take to buffer the effects of increasing fuel costs? It looks like the government refuses to appreciate the plight of the people at large and keep making the same mistake over and over again of underestimating the people’s demands for consultation and transparency.

Most Malaysians would accept that the fuel subsidies cannot continue forever and it has to stop some time but it would only be fair for them to be given sufficient time to adjust their lifestyle to the inflationary spiral of a significant hike in fuel price. It is unfortunate that instead of gradually tailing off the subsidy, the government has chosen the ‘cold-turkey’ method which will be more painful for the rakyat.

The people would be more receptive to accommodate fuel price hikes if the government illustrates its willingness to channel the money saved from the subsidies for greater long-term benefits. It has promised a better public transport the last time fuel prices were raised but till today we are yet to see any tangible improvements in the service. It has failed to appreciate the urgency of reorganizing to improve the public transport system which is in deplorable conditions. In fact our public transport system is disorganized, unreliable and in a state of chaos. The authorities have not demonstrated any will to drastically improve the public transport.

The government is trying to give the impression that the recent fuel price increase is inevitable as it is being decided by external forces that are beyond its control. Well it may be so to a certain extent but to put all the blame on such external forces would be an attempt to escape from its own mismanagement. It is not the fuel price alone that is the problem the people are facing but a failure to manage efficiently the nation’s economic policies as a whole together with the many social ills that plague us today. It is the failure of the government to effectively address these ills that has resulted in the rakyat so adversely.

There is dire need for greater accountability and transparency in the management of the money saved on abolishing the fuel subsidies. The people need to see that the government is serious in channeling the money for the right purposes. A lot of promises have been made but regrettably their implementation is far from satisfactory.

It is also timely for the government to review subsidies in all other areas. Greater emphasis must be given to increasing productivity and reducing wastage by fighting corruption rather than keep increasing subsidies. If we want to successfully compete in the global world, we must get rid of the subsidy mentally as it would hamper our competitiveness in the open international market.

There is a need for the government to update the financial management of the country by implementing an agenda that is tailored to the overall welfare of the people whose demands are increasing by the day. There is a need for greater transparency, accountability and prudence in national spending and more seriousness in fighting corruption, wastage and mismanagement at all levels of the administration. If it fails to do so, no amount of subsidies is going to create a more equitable and dynamic society for all.

The BN government appears to be incapable of addressing the nation’s problems effectively, as reflected by escalating cost of living, uncontrolled inflation, rampant corruption, tainted judiciary, and high crime rate, and deplorable public transport, poor maintenance of public amenities, docile civil service, partisan police force and ethnic polarization. It is still preoccupied with internal bickering and power struggle and still reeling from its losses in the recent election. It is depending on outdated policies that are not going to take us anywhere in more complex world.

On the other hand, the Pakatan Rakyat, promises to bring prices down and implement a more forward looking, Malaysian Economic Agenda(MEA) if it comes to power. We are told the MEA is tailored towards creating a fairer and just Malaysia for all that will be more relevant to meet the new challenges of today’s world. May be it is time for us to give Pakatan a chance to prove its worth.

Dr.Chris Anthony