The government has just reduced the BUDI95 quota from 300 litres per month to 200 litres per month starting April 1 following the turmoil in West Asia. The reduction was made to control fuel consumption since Malaysia is a country that imports more than it exports petroleum.
Recently, drivers or owners of foreign-registered vehicles who buy RON95 petrol will also face legal action starting April 1. As a reminder, foreign vehicles will no longer be allowed to buy RON95 from June 17, 2022.
Previously, only petrol station operators could be subject to action if they sold RON95 to foreign vehicles. Now, foreign buyers will also be held accountable but what penalties will be imposed has not yet been announced.
The purpose of the enforcement is to curb the leakage and smuggling of subsidised fuel, especially in border areas. In border towns in the northern states, for example, many vehicles with Thai registration plates were found buying petrol due to lower prices and a shortage of supplies in the neighbouring country.
The Ministry of National Economy said it would not compromise with any individual, syndicate or entrepreneur who violated this ban. The public is also encouraged to report information or complaints regarding suspicious activities involving the smuggling of subsidised fuel.
