KUALA LUMPUR: The government is considering reducing the monthly subsidised RON95 quota under BUDI95 to 150 litres as part of efforts to manage fuel supply.
Deputy Finance Minister Liew Chin Tong according to The Edge said data shows 80pc of Malaysians use less than 200 litres monthly, while 60pc are below 150 litres. The quota was previously reduced from 300 litres to 200 litres in March.
He said rising global oil prices, driven by geopolitical tensions, have pushed Malaysia’s fuel subsidy spending up nearly tenfold.
The government is also studying tighter eligibility rules, including excluding high-income earners and foreigners, while maintaining protection for motorcyclists and lower-income groups.
Liew described BUDI95 as a “demand management tool” and said longer-term solutions include improving public transport, electrification, and urban planning to reduce oil dependency.