The government will not adjust the Budi Madani RON 95 (Budi95) quota based on income levels in order not to burden the rakyat, said Datuk Johan Mahmood Merican, the secretary-general of the treasury, ministry of finance.
As reported by Bernama, the government’s main concern presently is to analyse the data gathered from the start of the Budi95 programme to see its success. “Let’s analyse the data first to look for unusual utilisation before we look at changing parameters. It has been a major change for the country so we do not want to tweak with it too much in the short term,” Johan explained.
Eligible users currently get a quota of 300 litres a month, with data from the government showing an average consumption of about 83 litres per month. Johan also noted that 90% of those eligible for Budi95 used less than 200 litres per month.
He added that the government would not be implementing a more targeted subsidy programme based on income class despite proposals for a more precise mechanism.
“Let’s focus on removing leakages from either foreigner (consumption) or companies using subsidised fuel and allow more Malaysian to use Budi95 rather than engaging in a long debate. Whether we should come up with a tiered mechanism, maybe people earning more than RM20,000 should no longer benefit – that is not on the table at the moment,” he said.
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the whole idea is not to reduce the usage of citizen, it is more towards curbing the subsidized petrol smuggling to neighbour countries; catching those traitors selling subsidized fuel
malaysian being a kind and rich country can afford to donate millions to TalesPine, we can certainly afford to give some petrol subsidies to neighbours pattani/sulu/nusantara.
This is fairness. Those who made noise are the traitors who want to sell it for profit to syndicates and those who wishes for more tongkat.
That’s a good way to put it.
Don’t stir the nest when it is doing what it is intended.
Rich people wont really bother anyway. Most of them are running EVs anyway.
In 2025, Malaysia’s total tax revenue is estimated to be 12.6% of the national income (GDP), while individual and company income taxes combined make up approximately 41.8% of the Federal Government’s total revenue.
Those calling for targeted subsidy, is like biting the hands of those who feed them. People working harder, taking more risk, paying more tax and contribute to the subsidy you enjoying. Or they can migrate and contribute to other country. Then Malaysia will be forever backward and behind.
Madani teeerbaik. Better than previous gomen. Prevent leakages while Malaysians continue to enjoy the petrol price, among the cheapest in the world.. this is what we want. My vote for PMX.
if the system is not broken, why fix it? good to follow toyota’s principle as they always use the same engines for decades.
EV adoption is still low. Not practical at all for highway use! The range anxiety is real – and don’t trust the WLTP or whatever. It’s not for rich people, but even middle class Malaysians are buying EV.
BTW, T1 & T2 group already had to pay higher taxes, excluded from almost all the Bantuans, and now petrol subsidy.
A day will come where parents will say to their children no need to study hard anymore and only earn below 10k to avoid paying taxes. Then we have to start importing foreigners to fill up those corporate jobs!
Malaysia does not provide any incentives to Malaysians to become smart and highly educated. Only businessmen profit the most – pay the lowest tax, yet many declare themselves as B40.
Because the government kept using the taxes to subsidize the “necessary” things and there are no budget left to “Incentivise” becoming smart and highly educated?
Do you really need incentives to work hard and be educated? It should have been an intrinsic value and not entirely motivated by money. If we need to pay our citizens to work hard and get educated, I think we have more of a morality issue rather than an economic issue.