The government previously reduced the RON95 petrol subsidy from 300 litres to 200 litres under the Budi95 programme. The latest, according to a report by The Edge, the government is said to be considering reducing the RON95 fuel subsidy quota under the Budi95 programme to 150 litres, thus ensuring that the fuel supply lasts longer.
Through the sharing of Deputy Finance Minister, Liew Chin Tong, data shows that 80% of Malaysians use less than 200 litres of fuel per month, and 60% use less than 150 litres. He also stressed that Malaysia needs to drive investment in public transport, and better urban planning to reduce dependence on fuel.
No date was given as to when this change will be implemented. The government is prepared to bear the high subsidy costs due to the unrest in the Middle East, which has affected the oil supply. Apart from further optimising subsidy costs, this move is also seen as an effort to extend the existing fuel supply.
According to the government's latest statement, oil supply in Malaysia is said to be stable until early July 2026.
