KUALA LUMPUR: There is no reason for prices of essential goods and transportation to rise, now that the Budi95 petrol subsidy scheme has been implemented.
This is also due to the model set by the successful subsidised diesel control system (SKDS), the targeted diesel subsidy initiative implemented by the government earlier, said Datuk Armizan Mohd Ali.
The Domestic Trade and Cost of Living Minister said that although there had been initial concerns that the SKDS initiative could push overall inflation above 4%, the country’s inflation has shown a consistent decline.
“If everyone is covered, we can make sure that prices of goods and transportation remain stable,” he told reporters after launching the My Gaya Month 2025 here yesterday.
Under the Budi95 initiative, recipients can purchase RON95 petrol at the subsidised rate of RM1.99 per litre – compared with the market price of RM2.05 – with each Malaysian entitled to 300 litres.
Meanwhile, Armizan said public passenger boats using RON95 petrol will be eligible for subsidies, either under the Budi95 programme or the subsidised petrol control system (SKPS), subject to a mechanism that will be announced soon.
The initiative applies to boats registered under the names of Malaysian citizens or locally-registered companies.
“In the interim measure, public passenger boat operators will be allowed to claim reimbursement in cash.”
On Wednesday, the Finance Ministry announced that the government had agreed to extend Budi95 eligibility to Malaysian registered boat owners, without requiring a valid driving licence.
“The Federal Government is working with state government agencies such as the Sarawak Rivers Board and the Sabah Ports and Harbours Department, to identify registered boat owners,” the statement noted.
