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.






























