KUALA LUMPUR – The monthly RON95 fuel quota under the BUDI95 programme could be cut to 150 litres as the government seeks to secure domestic fuel supply amid a global energy crunch triggered by the West Asia conflict.
Deputy Finance Minister Liew Chin Tong said current usage data shows that most Malaysians consume far less than the existing quota. He explained that the present monthly quota is 200 litres, reduced from a previous 300 litres, Berita Harian reported.
"Although there is a reduction, the impact on the majority of the population is minimal, with data showing that about 80% of Malaysians use less than 200 litres of petrol per month. Next step is 150 litres. Around 60% of the population consume less than 150 litres. In fact, 50% of the population use less than 100 litres," he was quoted as saying.
Liew made the remarks during a 'Fireside Chat' titled Malaysia's Response to Global Energy Crisis: Build Back Better at the AFFIN Market Outlook Conference: Propelling Malaysia Forward 2026 organised by AFFIN Group today.
He added that reducing fuel consumption is crucial to ensure a consistent supply for the public, even at a more controlled rate.
"It is important to protect low-income groups and motorcyclists, who are likely the most affected if fuel prices rise sharply. For example, motorcyclists are estimated to use only about 50 litres of petrol per month and must continue to benefit from high subsidy rates to avoid greater cost-of-living pressures," Liew said.
The Deputy Minister also highlighted the social and political importance of the approach, ensuring vulnerable groups are not unduly burdened amid economic challenges. Government expenditure on fuel subsidies has surged almost tenfold following sharp increases in crude oil prices due to the recent geopolitical tensions in West Asia.
Chin Tong further confirmed that the government is still planning a targeted diesel subsidy mechanism for Sabah and Sarawak, similar to the BUDI95 fuel programme.
Looking ahead, he added that Malaysia must accelerate investment in public transportation, electrification, and denser urban planning to reduce long-term oil dependency. - May 12, 2026
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