Govt lowers BUDI95 subsidised fuel quota to 200 litres monthly

 The new quota for the subsidised fuel, priced at RM1.99 per litre, is expected to take effect from next month.

The government previously announced that it is keeping the RON95 petrol price at RM1.99 per litre for Malaysians under the BUDI95 subsidy scheme, despite rising global oil prices following the US-Israel attacks on Iran.

PETALING JAYA:

 Prime Minister Anwar Ibrahim has announced that the 300-litre monthly quota for the subsidised RON95 petrol under the BUDI95 programme has been reduced to 200 litres as an interim measure in dealing with the impact of the Middle East conflict.

The new quota for the subsidised fuel, priced at RM1.99 per litre, is expected to take effect from next month.

“We found that the average usage under BUDI95 is about 100 litres per month.

“This means the majority of people use only around 100 litres monthly, and nearly 90% use less than 200 litres – therefore, they will not be affected,” Anwar said in a special televised address.

Anwar, who is also finance minister, emphasised that the measure is temporary, pending a recovery in oil prices, supply conditions, and the global economy.

“I sincerely ask for the public’s understanding and cooperation. These are steps we are compelled to take in light of the pressures we are facing.

“I recognise that there will be various accusations and interpretations that we cannot avoid. But rest assured, I do not want the rakyat to feel burdened, and every measure has been carefully and prudently considered,” he said.

Anwar also highlighted that many countries, including Malaysia’s neighbours, have raised fuel prices but Putrajaya has maintained the subsidised RON95 price at RM1.99 per litre.

“We know this has brought significant benefits to the rakyat, and we are also compelled to take several additional measures.”

The BUDI95 programme was introduced at the end of September to ensure that RON95 petrol subsidies benefit only eligible Malaysians, while curbing leakages to foreigners and commercial entities.

Under the programme, Malaysian citizens aged 16 and above who possess a valid driving licence can purchase up to 300 litres of RON95 petrol per month at the subsidised price of RM1.99 per litre. - FMT