KUALA LUMPUR, Aug 25 — The government remains committed to implementing targeted subsidies for RON95 petrol, with further details expected to be announced by the end of September 2025, said Finance Minister II Datuk Seri Amir Hamzah Azizan.
He said that the move is necessary, as the long-standing blanket subsidy policy has burdened the nation’s fiscal position and has not benefited the majority of the population.
“In the same spirit, the targeting of RON95 petrol subsidies — similar to the electricity and diesel subsidies — will not affect the wider public,” Amir Hamzah said during a Special Chamber session in Parliament today.
He was responding to Datuk Seri Dr Wee Ka Siong (BN-Ayer Hitam), who asked how the government determines the T15 (top 15 per cent of income earners) category and what systems will be in place for notification, verification, and appeals to protect public rights during the RON95 subsidy rationalisation.
Amir Hamzah said the government is currently in the final phase of refining the eligibility criteria and implementation methods for the targeted RON95 petrol subsidy, in collaboration with all relevant stakeholders.
Among the mechanisms currently under consideration are the use of MyKad, e-wallets, and oil company apps to ensure implementation is efficient and does not burden the public.
“This MyKad mechanism works by inserting the MyKad into a government-provided reader terminal. The terminal will connect to the government’s Central Database Hub (PADU) to determine eligibility and quota.
“The MyKad method is also being used to channel Sumbangan Asas Rahmah (SARA) assistance, where each identified eligible recipient will be automatically registered and receive basic necessities aid through an account linked to their MyKad,” said Amir Hamzah.
He emphasised that the initiative is being carefully designed so that the public does not experience any significant difference in their usual transactions, whether paying by cash, card, or via MyKad integration.
Amir Hamzah also said that since June 9, 2024, the government has implemented targeted diesel subsidies in Peninsular Malaysia through the BUDI Madani programme, with a two-tier pump price system — unsubsidised for ineligible users, and subsidised for commercial vehicles and eligible individuals.
In line with this, he said the government will set up a public portal to check eligibility for the targeted RON95 subsidy, along with a contact centre to allow the public to seek assistance, provide feedback, or lodge complaints through various channels — ensuring a smooth and inclusive user experience.
Amir Hamzah added that the implementation of targeted electricity and diesel subsidies has given the government greater fiscal space to fund welfare programmes for the people, such as increased SARA assistance, social protection, and improvements to healthcare, education, and public transport infrastructure. — Bernama
