The government will continue to monitor West Asia developments and global oil prices before considering restoring the 300-litre monthly quota for Budi95.
PUTRAJAYA: The government will continue to monitor the developments in the West Asia and its impact on global oil prices before reconsidering the monthly quota of BUDI MADANI RON95 (BUDI95) which is currently set at 200 litres.
Finance Minister II Datuk Seri Amir Hamzah Azizan said that for now, it is still too early for the government to make any decision on the possibility of returning the quota to 300 litres given that the development of the recently announced ceasefire needs time to assess its effectiveness and impact on the oil market.
“I think if we look at the recent developments, regarding the temporary ceasefire that was just signed last Friday.
“This will take 60 days for them (the United States and Iran) to continue discussing. So we have to wait and see if this can last and the overall implications,” he said in a press conference here today.
He said what is important is that the government always strives to ensure that the people continue to be protected.
“So what is important is that what we are working on in this government is to ensure that the people continue to be protected, in terms of what we are doing under BUDI95. Although the quota has dropped from 300 litres to 200 litres, the implications are manageable,” he said.
Amir Hamzah said almost 80% of BUDI95 subsidy recipients were found to use less than 200 litres of petrol every month.
“We also advise those who can to reduce (petrol consumption). That is why there are efforts such as working from home to reduce the use of petrol and we also recommend prudent use so that we can reduce the pressure,” he said.
Last Thursday, Prime Minister Datuk Seri Anwar Ibrahim was optimistic that the Memorandum of Understanding (MoU) for a peace agreement between the US and Iran could pave the way towards ending the conflict and ensuring peace in West Asia.
Anwar expressed confidence in the positive developments in the negotiations, although a final agreement between the two countries must be reached within a maximum period of 60 days.
International media previously reported that US President Donald Trump and Iranian President Masoud Pezeshkian signed a preliminary agreement containing a 14-point document to end the conflict between the two countries.
