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In an attempt to curb rampant fuel smuggling, the Domestic Trade, Cooperatives and Consumerism ministry (KPDNKK) is limiting the sale of diesel and petrol by kiosks at the Kelantan-Thailand border, according to a report by Bernama.

Secretary-general Datuk Seri Alias Ahmad has announced that from June 1, each of the 39 kiosks, located within 1-25 km from the border, will be allowed to sell only 600,000 litres of diesel and petrol monthly.

“We found that the sale of diesel and petrol by kiosks at the border reached up to 1.9 million litres monthly for each kiosk. It’s impossible for the kiosks to have that many customers,” he said. “The government suffered RM30 million losses due to smuggling of subsidised fuel in Rantau Panjang alone.

“The smugglers no longer use lorries with extra fuel tanks but commute using the same vehicles to the border. The quota is imposed until the government implements a new system in September.”

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It is understood that the sale limit is imposed first in Kelantan, but could be introduced in other border areas as well.

Firm action would be taken against fuel kiosk operators who collaborate with smugglers in the illegal transportation of diesel and petrol, said Alias.

“We will not hesitate to suspend their licences under the Petroleum Development Act. Kiosks that need higher quota of diesel and petrol must submit an application to Kelantan KPDNKK.”

He added that KPDNKK will continue Ops Titik until December and will set up a special intelligence team to monitor and spy on smuggling syndicates.