Ministry urges goods transportation companies to apply for fleet card

PUTRAJAYA: The Domestic Trade and Cost of Living Ministry (KPDN) has urged selected goods transport vehicle companies in Peninsular Malaysia to immediately apply for a fleet card to ensure they enjoy the benefits when the government implements a re-targeting of diesel subsidy later.

Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali (pic) said the implementation of subsidised diesel under the Subsidised Diesel Control System (SKDS) 2.0 involves nine types of vehicles in the land transport sector of goods, namely general cargo lorries, bottled drinks lorries, refrigerated lorries, luton lorries (box vans for delivery), flour tankers, water tankers, panel vans, window vans and prime movers.

He said the companies involved are expected to file in applications by April 30 at the latest.

"That (April 30) is not a closing date, there is no closing date as long as it has not been announced when the implementation date (targeting of diesel subsidies) will be. However, to ensure that these types of vehicles are ready, we urge you to promote and apply by April 30 at the latest.

"It is to ensure that whenever the government announces the implementation date, at least nine types of goods transportation (companies) already have a fleet card," he said after attending an engagement session with the Transport Industry and Oil Supply Companies here Tuesday (April 23).

Armizan said the engagement session was done to enlist the cooperation of land transport association members to speed up their fleet card applications with selected oil companies.

"The associations related to the land transport sector of goods (who are) present today, they gave a commitment to make announcements to help us promote, explain and encourage their association members to apply through the MySubsidi Diesel system and after receiving the approval, to continue with an application for a fleet card to the oil supplier company immediately.

"In the discussion earlier, we also agreed to consider an appeal, if previously the goods companies were limited to having the option of two oil supplier companies, we have decided on the appeal, we will give an additional option which is you can choose three out of five oil supplier companies," he said, adding that that the oil supply companies involved are Petronas, Shell, Petron, Caltex and BHP.

In the meantime, Armizan said there are companies already registered with the MySubsidi Diesel System and given approval, but which have not applied for a fleet card with an oil supplier company.

"They have already received approval but have not applied for a fleet card, they are waiting to see how much quota they can get and wait for the announcement on its implementation.

"We have also instructed the oil supply companies to be ready and add to their fleet card orders, because I think our government is very concerned that those who will benefit from this will exceed our initial estimate," he said.

Meanwhile, Armizan said the government's move to implement SKDS 2.0 aims to minimise the issue of widespread leakage and smuggling.

He revealed that there are companies and gas stations that are being threatened by certain syndicates to sell diesel to them in excess of the set quota.

"There are also some gas stations that choose not to make a report because they are (intimidated), concerned about their own safety, their employees and their premises.

"So we can't allow this to happen, that's why we manage that risk in addition to physical enforcement, we manage the risk of smuggling by not giving bulk subsidies at gas stations," he said. - Bernama

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