An acceptable cut – for now


Revised quota: From April 1, the subsidised RON95 quota under the Budi95 programme will be reduced from 300 litres to 200 litres. — MUHAMAD SHAHRIL ROSLI/ The Star

PETALING JAYA: Malaysians are taking the reduction in the Budi95 subsidised fuel quota in stride, with many expressing understanding of Putrajaya’s move to rein in spending as geopolitical tensions in the Middle East continue to cloud global oil markets.

The cut from 300 litres to 200 litres per month aligns with actual usage for the majority and is seen as a reasonable step to ensure fiscal sustainability during uncertain times, several consumers said in an interview.

Ravi Rajagopal, a 63-year-old personal driver, noted that while the impact is more significant on those who rely heavily on their vehicles daily, Malaysia’s subsidy system still offers substantial relief.

“Compared with neighbouring countries like Thailand, we still have subsidies,” he said, adding that he does not typically exhaust his entire monthly allocation.

“As long as the price remains the same, the 200-litre quota is still okay,” he said.

Similarly, finance specialist Leong Wai Ming, 25, said the adjustment will have little impact on her daily routine, as her fuel consumption remains below the new cap.

“With the current global situation and oil prices being uncertain, it is understandable that the government wants to control spending early,” she said, adding that her travel habits will remain unchanged.

Public relations manager Sophiah Sallehuddin, 32, echoed this sentiment, stating that she has never fully utilised the RON95 subsidy.

“I frequently use public transport, so I believe I can continue as usual,” she said.

Megan Leong, 29, a planning executive, described the move as timely given the volatility of global oil prices, noting that it helps the national budget remain resilient.

“Aligning the subsidy with ­actual usage data is a logical way to reduce wastage without affecting the people,” she said.

She suggested that any savings from the subsidy rationalisation should be channelled into long-term infrastructure improvements.

“Specifically, the government should accelerate last-mile connectivity to provide a viable alternative to driving by improving pedestrian accessibility and expanding local feeder networks,” she added.

For photographer Moganraj Villavan, 34, the change has no personal impact as he primarily uses a motorcycle.

“The unused balance each month was previously wasted, so this is a good move,” he said.

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