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90% of the Malaysians consumes less than 200 litres of RON95 petrol per month and will not affected by the reduced BUDI95 limit
In a special announcement yesterday, 26 March, Prime Minister Datuk Seri Anwar Ibrahim said the monthly BUDI95 allocation for individuals will drop from 300 litres to 200 litres starting 1 April.
Anwar said the move aims to cushion the impact of rising global oil prices triggered by the US-Iran war.
It serves as a strategic measure to keep the domestic economy stable amid volatile markets, he added.
Despite the cut, the price of subsidised RON95 petrol will remain at RM1.99 per litre
Anwar noted that the change does not affect nearly 90% of Malaysians currently benefiting from the subsidy.
"We found that the average usage of BUDI95 is about 100 litres, meaning the majority of people use only around 100 litres per month," Anwar said.
Qualified e-hailing drivers will maintain their 800-litre monthly allocation
For those in East Malaysia, there is relief as Sabah and Sarawak will continue to receive subsidised diesel at RM2.15 per litre.
This is due to the unique logistical and geographical hurdles in those states.
However, the government is now stricter about how that fuel is bought.
Putrajaya will introduce new purchase limits and increase enforcement to prevent hoarding and the risk of diesel smuggling across borders
New diesel purchase limits range from 50 litres to 150 litres per purchase.
Light vehicles used for public transport, goods transport, and private purposes are now capped at 50 litres per purchase.
For goods vehicles under three tonnes, the limit is 100 litres, while heavier vehicles are capped at 150 litres.
Anwar acknowledged that the new limits might cause some inconvenience at the pump, but stressed that the measures are necessary to safeguard the national supply and protect the broader public interest.
