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Sunday, May 25, 2008

50 years on and where are we headed, really?

A little less than 25 years ago, a national pride was born - it was our beloved 1st national car, the Proton Saga.

During the period before its launch, the average Japanese car was selling for no more than RM15,000 and these were all CBU units. Then the saga began, and it was to be an "affordable" car priced at around RM18,000 at the same time bringing the price of Japanese cars to almost RM40,000. As volume was necessary to sustain any productive endeavour, the next logical thing to do was to make the national car "affordable" by lowering credit approval criteria, lengthening loan tenure etc. Hence, a generation of Proton owners were born and continued to grow until it became the NO. 1 selling car in the country and the rest is history. Now, almost everyone drives a car, well at least a Proton or a Perodua.

Funny thing is, how come no one ever thought about the petroleum subsidy then when Proton sales were brisk? How come not one single leader in the governing coalition had the foresight to look beyond the Proton sales figures (not to mention the subsidies paid), look beyond at the problems that we would imminently face years later like wasteful traffic congestion, massive petroleum subsidy and a culture of overspending beyond our limits?

Frankly, we would have done much better without a national car or two. We would have done better without the huge number of cars on the road, perhaps we would have been better drivers even, better mannered on and off the road. We would have less accidents, and saved more lives. We would definitely have saved more time and be more productive, and live a better quality life!

Instead, now we have to face the irreversible, harsh and hard reality of petroleum at RM2.70 a litre (and diesel at RM2.58 a litre) and of course the possibility of paying RM5.00 for a litre of petroleum! This could translate to RM800 to RM1,200 in fuel spending a month (up from RM300 to RM400 a month) for the average traveller!! Within the next 6 years our beloved country is going to be a net oil importer, and by 2020 there may be no more oil for us!! I shudder in fear just thinking of the consequences this will bring about. What will be our Vision 2020?

Where does this lead us, can somebody tell me?