PETALING JAYA: For some time, music studio owner Najib Mohd Nor had to turn down jobs because the cost of transporting his audio equipment to performance venues was simply too high.
For certain assignments, particularly those involving long-distance travel, transport expenses sometimes exceeded what he earned from the jobs.
With the implementation of the Budi Diesel subsidy, which fixes the diesel price at RM2.10 per litre for eligible recipients, Najib hopes to better manage his expenses.
“With my operating costs now lower, I can take on more jobs and focus on growing my business,” said Najib, who also rents out musical instruments and audio equipment for stage events.
He said the targeted diesel subsidy mechanism, which came into effect on July 1, would help small business operators better manage rising operating costs.
For Manuel Jeremiah, 41, it has renewed his confidence over owning a diesel vehicle.
Like many diesel vehicle owners, he said uncertainty over fuel costs following the rationalisation of blanket diesel subsidies had made him more cautious about making long-term plans.
The uncertainty also affected the second-hand vehicle market.
“People were cautious about buying diesel vehicles because of fuel costs and the offers I received were lower than what I had expected,” he said.
Federation of Malaysian Consumers Associations chief executive officer Saravanan Thambirajah said the subsidy could better support groups that rely on diesel in their daily lives, including the rural folks, gig and e-hailing drivers.
He said continued improvements to the implementation and appeals process would help ensure assistance reaches deserving recipients.
“It must take into account the realities faced by consumers and not rely solely on technical ownership requirements,” he said.
Saravanan said expanding access through physical service counters, responsive helplines and community-based assistance programmes would further assist senior citizens, persons with disabilities and those with limited digital literacy.
He also welcomed efforts to improve data integration among government agencies, describing targeted subsidies as an important step towards reducing leakages while ensuring support reaches those who genuinely need it.
Association of Water and Energy Research Malaysia president S. Piarapakaran said the latest implementation reflected lessons learned from previous initiatives, including Budi95, resulting in a more targeted and effective approach.
He said most users he had spoken to had not encountered major problems under the current mechanism.
“The main issue that may require further attention involves owners of vehicles that use B7 diesel, as newer engine designs are not suitable for regular B10 diesel in the long term,” he said.
He suggested the government consider extending the programme for B7 diesel.
On the transfer of benefits to family members, he said existing controls on subsidised diesel quotas had helped keep the risk of abuse low.
“If there is any misuse, the government can rely on the current system to blacklist recipients,” he said.
