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No cut in fuel rations, says Myanmar
Wed, Jan 02, 2008
The Straits Times
YANGON - MYANMAR'S ruling military, apparently wary of igniting another outbreak of mass demonstrations, tried to quash rumours yesterday that fuel rations would be slashed in the face of rising global oil prices.

A sudden hike in fuel prices in August last year led to protests that ballooned into huge anti-government street protests that were brutally crushed by the military.

A report in the state-owned New Light of Myanmar yesterday said rationing of petrol, diesel and compressed natural gas will remain unchanged.

As fuel prices increase worldwide, rumours have been rife in Yangon that, instead of increasing fuel prices, the government might reduce the ration for private-car owners to 3.8 litres from 7.6 litres a day.

Myanmar suffers from a constant petrol shortage due to limited domestic oil production and meagre foreign exchange reserves.

Petrol and diesel have been sold under a rationing system in Yangon since 1980. Each car has a ration book, allowing car owners to purchase 227 litres per month.

Since last November, the government has slashed the petrol and diesel quotas of senior civil servants by at least 75 per cent.

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