KUDAT: The Domestic Trade and Cost of Living Ministry will submit a proposal to the Finance Ministry to consider extending diesel subsidies to ferry operators serving the northern Kudat-Pulau Banggi route.
Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali said the proposal takes into account the importance of ferry services as the main mode of transportation connecting residents between Kudat and Pulau Banggi.
He said the ferry service primarily serves the transportation needs of local islanders rather than tourism activities.
He said the Kudat-Pulau Banggi ferry service is the main transport link connecting Banggi islanders with mainland Kudat town, allowing them to obtain daily necessities as well as carry out economic and social activities.
"We hope that the subsidy consideration will allow both ferry operating companies to increase the frequency of their trips once again.
"Details of the implementation mechanism will be announced subject to the approval and decision of the Finance Ministry," he told reporters during the Rahmah Madani Sales Programme here on Monday (Oct 19).
Armizan said the government has consistently taken note of issues concerning ferry services between Kudat and Pulau Banggi, particularly the reduction in trip frequency by the two companies currently operating the service.
In this regard, he said his ministry, Banggi assemblyman Datuk Mohammad Mohamarin and relevant government agencies had held discussions with both ferry operators, who had reduced the frequency of their respective services due to rising operating costs and diesel fuel expenses.
"In addition to channelling fuel subsidies to diesel operators, my ministry is also implementing programmes and livelihood initiatives for residents of Pulau Banggi.
"These include strengthening the implementation of the Rahmah Madani Sales Programme and the Essential Goods Distribution Programme," he added.
Armizan said that from Jan 1 to Oct 18, 2026, a total of 35 sales programmes had been carried out on Pulau Banggi, compared with 31 programmes in 2025.
For the Essential Goods Distribution Programme on Pulau Banggi, it covers 77 points of sale across three zones: Karakit, Damaran, and the surrounding islands of Pulau Banggi.
