Calls have intensified for the government to delay the rationalization of RON95 fuel subsidies, as concerns mount over its potential impact on Malaysians already grappling with rising living costs. Pasir Mas Member of Parliament, Ahmad Fadhli Shaari, voiced strong opposition to the policy, warning that it risks worsening the financial strain on ordinary citizens.
He pointed out that Malaysians are already burdened by escalating electricity and water tariffs, and introducing additional fuel-related costs at this time would only add to their hardship. According to him, the decision to push ahead with subsidy cuts seems to strip away what little financial relief remains for the public.
The criticism followed an earlier announcement by Second Finance Minister Datuk Seri Amir Hamzah Azizan, who confirmed that the rationalization of RON95 subsidies would proceed in the second half of 2025. The Ministry of Finance is reportedly refining the process to ensure subsidy support is channeled only to those who truly need it.
Ahmad Fadhli, however, expressed doubts about the government’s preparedness and clarity. He argued that even policymakers appear uncertain about how to accurately define the high-income T20 group, which is expected to be excluded from receiving subsidies. He cited various inconsistent indicators being floated in recent discussions—ranging from location and spending habits to the use of e-wallets, health apps, and even entertainment subscriptions—as problematic and ambiguous.
He questioned whether a family of four living in an urban area with a monthly income of RM11,000 but still renting could justly be classified as part of the T20 group. Without a clear and fair definition, he warned, the targeted subsidy system might fail to deliver the intended support, resulting in deserving households being left out.
Emphasizing that his party does not oppose reform in principle, Ahmad Fadhli stressed that reform must not come at the cost of the people's well-being. He described the current approach as reckless and built on vague criteria, which could ultimately penalize vulnerable groups already struggling with inflation and economic pressure.
He urged the government to first address the pressing issue of utility tariff hikes and develop a transparent, equitable system before proceeding with any changes to the fuel subsidy structure.
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