Malaysia to cut Budi95 fuel quota to 200 litres monthly from April 1, while maintaining the subsidised price at RM1.99 per litre.
PETALING JAYA: The government is slashing the monthly Budi RON95 (Budi95) fuel quota by a third, from 300 litres to 200 litres, starting April 1, yet the subsidised price will remain at RM1.99 per litre.
Announced by Prime Minister Datuk Seri Anwar Ibrahim, the move is part of the government’s proactive measures to safeguard fuel supplies amid global energy disruptions.
Anwar said about 90% of Malaysians would not be affected by the change, as most do not use the full 300-litre quota.
“The world is facing shocks — from the Strait of Hormuz blockade to ongoing conflicts, which have disrupted oil and gas supply. We cannot assume we are immune.
“Food and fertiliser supplies are affected, and oil and gas prices fluctuate. Action is necessary to manage demand and ensure fairness,” he said in a special address broadcast live today.
Anwar emphasised that Malaysia remains in a stronger position thanks to Petronas’ capabilities, but warned that careful steps are needed to prevent shortages and hoarding.
“Today, we are taking a more comprehensive approach to ensure supply while encouraging responsible consumption.
“I ask Malaysians to understand that these steps are necessary.
“Some may interpret them differently, but our goal is to protect the people, not to burden them,” he said.
Under the new arrangement:
• Budi95 quota for the general public will be capped at 200 litres per month. The majority of Malaysians, who typically use only around 100 litres monthly, will not be affected.
• E-hailing and gig workers will retain a higher ceiling of 800 litres per month to accommodate their professional needs.
• Sabah and Sarawak will continue receiving subsidised diesel at RM2.15 per litre, despite rising global prices.
• Purchase limits will be enforced to curb hoarding: light vehicles may fill up to 50 litres per transaction, vehicles under 3 tonnes up to 100 litres, and those over 3 tonnes up to 150 litres per transaction.
Anwar said these adjustments are temporary, pending a recovery in global oil supplies and the global economy.
“We are acting now to prevent worse outcomes later. Budi95 remains at RM1.99 per litre, providing relief to the rakyat while managing scarce resources responsibly.”
These measures come amid ongoing Middle East tensions, particularly involving Iran, and concerns over the possible closure of the Strait of Hormuz, a strategic oil and gas shipping route where disruptions have affected global energy supplies and pushed up fuel costs worldwide.