Subsidised diesel eligibility expanded to private business vehicles, says Armizan


PUTRAJAYA: Owners of diesel-powered jeeps and pick-up trucks registered under a business name and classified under the private business use category will be eligible for subsidised diesel.

Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali said they would receive the aid under the Budi Madani Diesel initiative.

He explained that eligibility was previously limited to vehicles registered under individuals and commercial goods transport vehicles registered under the consumer goods transportation category for the Subsidised Diesel Control System.

"Based on the previous criteria, small businesses who registered their diesel vehicles under the company or had classified their vehicles under the private business use category were ineligible," he said.

"However, the Cabinet in its meeting on Friday, decided to expand the benefit to these groups as well. They are small traders who also require assistance," he told reporters on Saturday (June 27).

Armizan had earlier observed preparations made by petrol station staff toward the implementation of the initiative in line with its early-phase rollout in Peninsular Malaysia.

Under this phase, subsidised diesel is sold at RM2.15 per litre through MyKad verification at participating petrol stations.

Full implementation will commence nationwide on July 1, with subsidised diesel priced at RM2.10 per litre for eligible Malaysians.

Armizan also said some 4,146 fuel stations nationwide are ready for the full implementation of the initiative.

On a related matter, Armizan said the government will review and adjust the fixed diesel quota for several categories of commercial land freight vehicles under the system.

Apart from the average fuel consumption based on the vehicle type, he said the revised quota will consider the Gross Vehicle Weight, engine capacity, lorry category and vehicle operating patterns.

"We are aware that similar freight vehicles can have varying gross vehicle weights due to the loads they carry," he said.

"This can also result in varying fuel consumption rates, hence the review to ensure the quotas for land freight vehicles better reflect their operational costs," he added.

He said the Finance Ministry, Transport Ministry as well his ministry, will conduct the review to finalise the mechanism used.

"This will take some time but we are aiming to run it by early August. This is because the quotas are renewed at the end of each month, and the new quota will be reflected the following day," he said.

 

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