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Friday, July 24, 2026
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Kuala Lumpur
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BUDI95 subsidy implemented in stages to avoid system disruptions

KUALA LUMPUR: The phased implementation of the BUDI MADANI RON95 petrol subsidy initiative beginning today aims to prevent disruptions similar to those experienced during the Sumbangan Asas Rahmah Appreciation Aid programme launch on August 31.

Treasury Secretary-General Datuk Johan Mahmood Merican stated this approach enables the government to take immediate action should any issues arise on the first day.

“The three-phase rollout was introduced following lessons learnt from the SARA implementation, when many Malaysians tested the system on the first day,“ he told reporters during a visit to a petrol station in Taman Tun Dr Ismail.

Effective at midnight, approximately 300,000 military and police personnel became the first group to enjoy subsidised petrol at RM1.99 per litre following Prime Minister Datuk Seri Anwar Ibrahim’s September 22 announcement.

They will be followed by Sumbangan Tunai Rahmah aid recipients from the B40 group on September 28, and subsequently by Malaysians aged 16 and above with a MyKad and valid driving licence on September 30.

Johan confirmed the BUDI95 implementation has so far proceeded smoothly without any issues.

“This morning, I visited a petrol station at Kem Perdana Sungai Besi and found that the transactions there were running well,“ he said.

Regarding the 300-litre monthly cap, he emphasised the amount is more than sufficient for private use.

“Data shows that 90% of Malaysians consume around 180 litres of petrol a month, except for those in the e-hailing sector, so the 300-litre limit under BUDI95 is more than adequate,“ he explained.

He added that the government has inspected over 4,000 petrol stations nationwide, including remote areas, to ensure adequate telecommunication coverage for transactions.

“However, in unforeseen circumstances, a standard operating procedure has been established between the government and oil companies where the public will still be able to pay the subsidised price without the system,“ he concluded. – Bernama

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