Malaysia to Roll Out RM1.99/L RON95 Subsidy for Citizens from Sept 30

Malaysia will roll out a targeted RON95 subsidy on 30 September, allowing all citizens with a valid driving licence to purchase the fuel at RM1.99 per litre.

The government estimates that around 16 million licensed drivers will benefit from the scheme, which is designed to ease living costs while ensuring subsidies are channelled only to eligible Malaysians.

To give lower-income households a head start, those in the B40 category will begin receiving the subsidised rate two days earlier, on 28 September.

Under the new framework, each person will be entitled to a maximum of 300 litres of subsidised RON95 per month.

E-hailing drivers, however, will not be bound by this limit and can apply for higher allocations to support their work.

Verification at the pump will primarily be done through MyKad insertion to confirm citizenship, but the government is also introducing alternative methods to make the process more flexible.

RON95 Subsidy

These include authentication via the Petronas Setel app and other fuel applications that have completed eKYC verification, allowing motorists to claim the subsidy without relying solely on their identity card.

Prime Minister Dato’ Seri Anwar Ibrahim described the initiative as a shift from blanket subsidies to a more precise, needs-based approach that prevents leakages to non-citizens and large corporate fleets.

The government urged motorists to check their MyKad chips ahead of the rollout and replace any damaged cards at the National Registration Department to avoid disruptions.

The market price for RON95 without subsidy will be RM2.60 per litre, which will apply to non-citizens and entities not covered by the scheme.

The government says the policy is both a cost-of-living measure and a structural reform to ensure public funds are used where they are most needed.

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