PKR has threatened to hold a protest on Dec 31 to demand reduction in fuel pump prices if the government continues to refuse bring prices down starting next month.

This is because the government has not reduced fuel prices in line with the plummeting crude oil prices globally, PKR vice-president Rafizi Rafizi told a press conference at the Parliament lobby.

"I urge that the petrol prices for RON97, RON95 and diesel be reduced beginning Dec 1," he said.

A demonstration would be the best way to apply pressure on the government, said Rafizi, who is also PKR secretary-general.

Rafizi said that reducing the fuel prices now would test BN's claims that the goods and services tax (GST) will bring down prices of consumer goods.

The federal goverment argues that this is at six percent, the GST is lower than the existing sales and service taxes.

However, Rafizi contends that prices will remain as there will be no motivation for traders to lower their prices despite the lower quantum in taxes.

He predicts that the same will happen even if fuel pump prices are brought down.
 
"I believe if the petrol and diesel prices are reduced now, the prices of goods will not come down, putting paid to BN's theories about GST," he said.

On Sunday, Deputy Finance Minister Ahmad Maslan said he will propose that the government reduce the price of RON 95 at the pumps if crude oil prices drop to US$70 to US$75 per barrel.

This is as when crude oil prices hit that low, pump prices should be lower than the subsidised RM2.30 per litre.