The price of RON95 petrol will go down by four sen a litre while diesel goes down by 10 sen per litre effective midnight.
This was announced by Finance Minister Lim Guan Eng, who said this was in light of the significant reduction in the global fuel price over the week.
This means the new RON95 fuel price will be RM2.04 per litre while the new diesel price will be RM2.08 starting at midnight.
As for RON97 petrol, it will go down by seven sen from RM2.41 to RM2.34 per litre.
The new prices will apply between Feb 8 and Feb 14.
The federal government is committed to the price stabilisation policy for petroleum-based products in line with Pakatan Harapan's manifesto," Lim said in a statement today.
The price is determined using the automatic pricing mechanism (APM) which is a formula that determines the weekly fuel prices.
However, regardless of the prices the formula yields, the government has fixed a cap of RM2.08 per litre for RON95 petrol and RM2.18 per litre for diesel. There is no cap for RON97 petrol.
Lim said the price of RON95 was supposed to be RM2.11 per litre last week but was maintained at RM2.08 due to the cap.
However, as the calculated APM prices have gone below the cap, the government has thus announced a reduction in petrol retail prices.