KUCHING, March 18 (Bernama) -- Sarawak will request 10 per cent or RM440 million from RM4.4 billion saved by the cut in fuel subsidies from the federal goverment to reduce the burden of those that are affected by the hike in the petrol and diesel price in the state.

Parti Pesaka Bumiputera Bersatu (PPB) deputy president and Deputy Chief Minister Tan Sri Alfred Jabu said, the proposed allocation would be spent to assist those directly affected by the hike and it had been divided into seven categories.

"The first category would be public transport such as buses and taxis, second public transport such as express and passengers boats and third public transport such as lorry carrying foodstuffs and medical supplies," he told reporters after the party supreme council meeting here Saturday.

The two-hour meeting was chaired by the party president who is also the Chief Minister Tan Sri Abdul Taib Mahmud.

Jabu said the other categories are fishermen and farmers who use diesel or petrol for their farm machineries and generators; long boat operators in rural areas, rural coastal areas and rural interior areas; remote settlements that are accessible by air transports only; and government owned infrastructures in remote areas such as schools, clinic and government outpost in Sarawak that required diesel or petrol to power their generators for daily essential functions.

"We will meet the relevant federal ministers including Transport Minister Datuk Chan Kong Choy, Domestic Trade and Consumer Affairs Minister Datuk Mohd Shafie Apdal and Minister in the Prime Minister's Department Datuk Seri Mohamed Effendi Norwawi to discuss these matters," said Jabu, who is also Infrastructure Development and Communication Minister.

On Feb 27, the federal government increased the price of petrol and petroleum products by 30 sen with RON97 petrol at RM1.92 a litre, diesel RM1.58 a litre and LPG RM1.75 a kg.

When announcing the hike Prime Minister Datuk Seri Abdullah Ahmad Badawi had said the government would use the savings from reduced oil subsidies to improve public transports.

-- BERNAMA