Eligible Malaysian citizens will be able to buy subsidised diesel with a monthly quota of 200 litres under the new BUDI Madani Diesel initiative that will be implemented nationwide on 1 July 2026. Under the new program, they can purchase the subsidised diesel for RM2.10 per litre.
However, this 200L quota will be shared with the BUDI95 quota, according to the Ministry of Finance (MoF). In other words, you can only buy subsidised diesel and RON95 petrol (RM1.99 per litre) for up to a combined purchase of 200L per month, and once you pass that 200L threshold, you have to start paying the unsubsidized retail price.
Interestingly enough, pickup and jeep owners can apply for an additional 100 litres for their BUDI Madani Diesel monthly quota. For those who are already receiving RM400 monthly cash assistance under the existing BUDI Diesel Individual program, they will receive the additional quota automatically.
In a new FAQ document published on BUDI Madani’s official portal, MoF has also said that the subsidised diesel price applies only to B10 diesel. This means those who want to purchase B7 diesel will have to pay the retail price that is determined by the Automatic Pricing Mechanism (APM), which is updated on a weekly basis.
As for the eligibility of BUDI Madani Diesel, one has to be a Malaysian citizen with a valid driving licence, as well as a registered owner of a private diesel vehicle with a valid road tax. In case that was not clear, the private diesel vehicle must be registered under your name.
In terms of purchasing experience, it will be identical to the BUDI95 mechanism, which revolves around MyKad. You can choose to pay directly at the cashier, card payment terminal at the pump, or use selected apps such as TNG eWallet, Setel, CaltexGo, and Shell App – provided that you have already completed the e-KYC verification process for these apps.
Ahead of the 1 July implementation, eligible diesel vehicle owners in Peninsular Malaysia will be provided with an “early preview” of BUDI Madani Diesel on 27 June 2026, in which they will be able to purchase subsidised diesel for RM2.15 per litre. This is the subsidised diesel price that eligible individuals in Sabah and Sarawak are paying at the moment.
You can check your BUDI Diesel eligibility or apply for additional quota on BUDI Madani’s official portal starting from today, 22 June. Alternatively, you may also do it at your preferred LHDN branches, including those that are located at UTC.
