KUALA LUMPUR: A total of 211 companies have been deactivated from the eCOSS system for failing to comply with subsidised cooking oil distribution rules, says the Domestic Trade and Cost of Living Ministry.
The ministry said the companies were found to have committed offences including failing to record transactions, selling to unlicensed retailers and purchasing beyond the permitted limit.
It also recorded eight cases involving the sale and purchase of subsidised packaged cooking oil by non-Malaysians as of Oct 30.
"From the aspect of addressing leakages, the implementation of Mobile eCOSS, together with regulations that came into force on March 1, 2026, allows the purchase of subsidised packaged cooking oil to be restricted to Malaysian citizens only," it said in a written parliamentary reply to Aminolhuda Hassan (PH-Sri Gading) on Thursday (Nov 12).
Aminolhuda had asked about the effectiveness of eCOSS in ensuring the availability of subsidised cooking oil and reducing leakages, as well as whether the Government planned to extend similar purchasing controls to other subsidised goods without making access difficult for senior citizens and rural communities.
The ministry said the eCOSS system was developed in 2023 to ensure cooking oil subsidies were distributed more systematically, curb leakages and reach the intended recipients.
Its first phase monitors the supply chain from refineries to packaging companies and retailers, while the second phase, introduced in May 2025, allows transactions between retailers and consumers to be recorded in real time through the Mobile eCOSS application.
"The implementation of eCOSS enables the distribution chain to be monitored digitally, including transaction monitoring and user identity verification through electronic Know Your Customer (eKYC) and MyDigital ID," it said.
To ensure sufficient supplies, the ministry has introduced a distribution zoning mechanism requiring wholesalers to record their distribution activities.
It also imposed a limit of three packets per transaction to ensure more consumers have access to subsidised packaged cooking oil and prevent excessive purchases.
The ministry said it had increased monitoring and enforcement through Ops Tiris 4.0 (Integrated), involving various enforcement agencies to combat the leakage, misappropriation and smuggling of subsidised controlled goods.
Addressing concerns that digital controls could affect access for senior citizens and rural communities, it said it would continue improving and simplifying transaction methods.
"Among the approaches being taken is the integration of eCOSS with the Sumbangan Asas Rahmah (SARA) programme and the National Registration Department (JPN), to enable the use of identity cards as a verification method during purchases," it said.
