Subsidised petrol soon only for verified Malaysians

Gas Prices

According to Berita Minggu, Domestic Trade and Consumer Affairs Minister Dato’ Shahrir Samad says Malaysians may soon have to present their identity cards at petrol stations before being able to fill up their fuel tanks with subsidised petrol. Everyone else would have to pay an unsubsidised market price for petrol.

One way of implementing this could be enabling the credit card readers at kiosks to verify that a valid MyKad has been inserted into the reader as all of the readers have been updated to accept and read chip-based cards some time ago, but this could be prone to abuse. The other way would be having manual verification by petrol kiosk attendants, though this would be a slight annoyance to motorists wanting to refuel quickly and go, but it would be a small price to pay to get subsidised prices.

In another report, former PM Tun Dr Mahathir claimed that at the current rate Malaysia would not be able to afford any form of petrol subsidy by 2014.

Source

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Paul Tan

After dabbling for years in the IT industry, Paul Tan initially began this site as a general blog covering various topics of personal interest. With an increasing number of readers paying rapt attention to the motoring stories, one thing led to another and the rest, as they say, is history.

 

Comments

  • transformer (Member) on May 11, 2008 at 8:44 pm

    How to classified who is eligible for fuel subsidised ?

    Would “mat-rempit” also eligible ?

    Its still an unfair regulations! There would tend to have loop-hole every where…

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  • szw (Member) on May 11, 2008 at 8:58 pm

    subsidise to malaysians oni , woohoo !!!

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  • jimbet (Member) on May 11, 2008 at 9:04 pm

    Transformer,

    It’s clearly stated over there that it’s for ‘Malaysians’

    Why are you so crossed? Are you immigrant?

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  • jimbet (Member) on May 11, 2008 at 9:05 pm

    Anyway.. it is good for those Singaporeans who like to ‘siphoning’ our petrol everyday. lol.

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  • mystvearn (Member) on May 11, 2008 at 9:06 pm

    Does the gov intents to check who is your employer and how much you are earning to see how much you are paying for petrol? Does not make sense. If I were rich, I ask my driver to go fill the car for me using his own IC. The driver is already a retired person with no permanent job in the first place. Even pulling with a luxury car still get rebates. I don’t see it working.
    Another note is that some fuel pumps employ foreing petrol jockeys. You must be mad asking me to hand my Mykad to a “maybe” illegal immigrant.Does not work either.

    Outside note, Paul, what do you think of people posting: “first/second” etc

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  • shamel (Member) on May 11, 2008 at 9:10 pm

    The minister and his ministry will silliest if the price increase in gas and diesel NOT OFFSET by huge decrease (like Australia if not Japan) in automobile and spare-parts price. Otherwise, the economy will be very bad and punishment of sort to already distress Malaysian with average price merely little dearer than our Northern neighbors.

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  • richx (Member) on May 11, 2008 at 10:11 pm

    Well, this is a good start. This prevents people from nearby Singapore and Thailand from driving their cars here on subsidized petrol and then violating every single traffic law we have. I think the next step would be to stop all S-plate cars from buying subsidized petrol at all, regardless of car owner being Malaysian or Singaporean. This is because the owner is most likely not paying any income tax in Malaysia at all – so why should they benefit from the petrol subsidy?

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  • ahmadmckk (Member) on May 11, 2008 at 10:20 pm

    can’t understand this concept. too hard to.

    why can’t just sell many variations of fuel as other countries(USA for example) do? Sell RON92, RON 95, RON 97 and RON99 or more. subsidise more on lower octane and less or no subsidy on the higher octane.

    What about biopetrol? there many companies that produce biodiesel but no biopetrol, is it because to expesive to make?

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  • ahmadmckk (Member) on May 11, 2008 at 10:25 pm

    well no matter how the gov try to do the best thing about fuel subsidy, there will always be “innovative” people that would get around it. Loopholes are inevitable. the important matter is how to cut unneccessary gov spendings without affecting people.

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  • jhuan (Member) on May 11, 2008 at 11:26 pm

    I’m staying in JB. There are a lot of ppl from other states come here to stay and work in s’pore, taking advantage of the exchange rates. Some of them in management could even afford to buy s’pore registered car. They used to pump full tank everyday in msia to be used in s’pore.

    However, these group of working ppl does not even paying a single cents of Income tax in msia! They, because are still being malaysia citizen, enjoying the high income (due to currency conversion) from s’pore but taking advantage of us, ppl working here paying income tax here, by buying subsidized petrol. They do not contribute to our country and society, but enjoy the same benefits we have. So this is a loop-hole that we must looking into. Though it is not easy under this scheme of presenting MyKad at petrol kiosk, yet they are driving s’pore registered car.

    How about applying un-subsidized petrol to all foreign registered car, be it from s’pore of thailand. Same rules must also applied to our controlled item such as sugar, cooking oil, flour and esp. rice! Go to any Giant supermarket and see those s’porean stockpiling these controlled items and you will feel the anger inside you.

    Our govt subsidizing malaysian is a sound and fair matter because we pay income tax. But it is totally ridiculous if all these controlled items being sold to foreigners. Unless they are working in malaysia.

    Phew, this is a very sensitive issue. Surely some opposition parties will have some thing to say in next few days. Hope they can come out with a different approach.

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  • lchan (Member) on May 12, 2008 at 12:33 am

    i wonder what goes on in Putrajaya?…or should I say in those empty hollow heads that are running our country.

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  • csv (Member) on May 12, 2008 at 12:41 am

    whats to stop me, from helping my friend who is driving singapore car pump fuel?

    see, i can already think of a loophole. use my IC, pump fuel into his car.

    and we know the attendents probably wont care either.

    so, its back to square one i suppose?

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  • _xXx_ (Member) on May 12, 2008 at 12:47 am

    jhuan said:

    However, these group of working ppl does not even paying a single cents of Income tax in msia! They, because are still being malaysia citizen, enjoying the high income (due to currency conversion) from s’pore but taking advantage of us, ppl working here paying income tax here, by buying subsidized petrol. They do not contribute to our country and society, but enjoy the same benefits we have. So this is a loop-hole that we must looking into. Though it is not easy under this scheme of presenting MyKad at petrol kiosk, yet they are driving s’pore registered car.
    ———————————————-
    Obviously, u r naive and short-sighted. I am one of these ppl. Do you know why I do not need to pay income tax? You think LHDN so stupid? Without us, JB would be like, mmmm Seremban/KT? And most likely you are jobless now. Hehehe…

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  • _xXx_ (Member) on May 12, 2008 at 12:51 am

    oh richx, my car is E-plated so I am excluded hehehe. Yeah, ban Sabah/Sarawak vehicles too. They are all S-plated

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  • chee89 (Member) on May 12, 2008 at 1:31 am

    this is really a stupid idea.
    1st of all, our MyKad chip spoils faster as soon as we put it into our wallets.
    2nd, this will just cause more processes and complications.
    3rd, what’s stopping the immigrant to borrow your I/C? you help them pump, they pay you a bit extra. Sure less than what they need to pay on their own country.
    4th, the subsidized petrol question. How much are they still going to subsidized?
    why are we subsidizing something we produce? we have oil on our own land! drill it, refine it, use it. That’s all there is! we tax the companies that drill it and then subsidize it? i am already lost here.

    Scrap this concept. Those jarheads thinks of the most dumb ideas.

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  • charles27 (Member) on May 12, 2008 at 2:30 am

    haha… funny joke. those rich man with driver.. will ask their driver to pump their merc and ferrari as well.

    which donkey brain is giving this idea?

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  • azrai (Member) on May 12, 2008 at 6:52 am

    Should be done a long time ago. Still I think the better way is to levi any foreign vehicle when they pass our border + they have to cleared all the summonses at the time. Singapore have done this. It is a success. How about those sugar, cooking oil, flour, and other subsidies item. Should be the same to.

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  • droll (Member) on May 12, 2008 at 7:05 am

    i doubt there will ever be a system to reduce this susbsidy that works as long as the folks at Putrajaya continue to live in fear.

    good luck!!!

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  • bmpower (Member) on May 12, 2008 at 9:16 am

    I saw many INDON with motor and car just pumped in like us.
    They dont deserved it!..

    And just go to Klang last week. There’s about 50 – 50 local vs INDON!..
    So imagine then..

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  • SY0H (Member) on May 12, 2008 at 11:06 am

    Asalamualaikum/Hello,

    I have to applause the government for finally taking this drastic measure to curb “oil theft” which is occurring right under our noses! I can’t just imagine a non-Malaysian laughing-out-loud because being able to buy subsidized oil but also “siphon” some of it for their own local market supply (just like what is happening along the Semenanjung-Thailand and Sarawak-Sabah-Kalimantan borders). Not to mention, some of them drive their vehicles like craze at our highways!

    I’ll be damned knowing our tax-payers money is used for their own illegal benefits. I’m sure Malaysia have no ill-intention to our neighbouring countries, but they must accept the facts that our subsidized oil is meant for Malaysians only. If foreigners still wants subsidized oil, its either they applied to be a Malaysian or they can go home to to their own country and ask their own government to subsidized oil as well! I hope the government could come out with a proper way to implement this system, maybe for starters, all oil users will need to use MyKad to verify their nationality (although as debated above, this system is prone to abuse but its the cheapest and fastest way so far). It’s better to have this system implement right away while the government thinks of other better alternatives because oil theft is rampant at this very moment.

    On the other hand, how about residents with PR status or expatriate which have been working in Malaysia for many years? How about foreign lorry drivers working for local firm? I know some expatriate whom have contributed a lot to our local economy and I think they should deserve some cut as well (but I leave this matter to the parliament guys to debate). Then again, I hope the government will not issues some kind of permit-card to this foreigner as this permits could be abused, faked and not to mention possible bribery to obtain this precious permit (you know what I mean). The government should think of better ways on how to differentiate foreign workers serving in Malaysian companies and foreign workers visiting Malaysia or tourists.

    In the meantime, priorities should be given to Malaysians! Please implement the MyKad verification system first and upgrade the system later. At least we will able to reduce the number of “oil theft” drastically. I have to agree with one of the opinions up there; we should immediately put the ban on cars with foreign license plate such as Singapore (which starts with “S” but please bear in mind that Sabah’s license plate also starts with “S” but you still can differentiate this plate easily. Singapore’s license plate usually starts with “SDK, SDU” but Sabahan plates starts with “SAA, SAB and etc.” and plus Sabahan’s license plate is marked in Black-Colour as opposed to Singaporean plate which is marked in Yellow-Colour). Furthermore, if the car is a Singapore or Thai or Indonesia’s license plate, there’s a possibility that the driver of the car might use his Malaysian girlfriend’s MyKad to buy fuel. I’m bringing-up some of this issues so bloggers as well as Goverment could think of ways how to tackle this matter. I hope to hear more news about this issue!

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  • Alifz (Member) on May 12, 2008 at 11:07 am

    Just implement first.

    Then do a review,anyway people always know to talk only. It’s now time to do work..

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  • dangermouse (Member) on May 12, 2008 at 11:56 am

    Could also – remove subsidy altogether. Pay full price at the pumps.
    Then, present your IC – Malaysians then get rebate paid directly via meps cash / T’n’G or some other method, based on your IC.
    This would prevent using someone else’s IC to get cheap fuel – the rebate would go to the IC holder.

    This could cause cashflow hardships for people though so rebate payment would have to be fast & easy to access.

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  • cetait (Member) on May 12, 2008 at 1:41 pm

    This is so totally unworkable its not even funny. There’s already a black market in stolen/borrowed ICs, this scheme would send it soaring out of control. Better keep a good eye on those ICs you and your parents/siblings/gf/wife will have to be carrying with you every time you go out now.

    Automated card readers, a joke, using someone else’s credit card is already simple, using someone else’s IC would be even easier. And like those kampung petrol stands can afford to have automated anything.

    And manual verification by the gas jockeys? Really expect each and every one of them to be able to verify a real IC and match picture to the person? Like they will care so much. Not to mention plenty of places will either “close one eye” or adopt a “tidak apa” attitude to either get more business or work faster. And if not, a couple ringgit “tip” could probably get your Tesco Club Card recognized as a valid IC lol.

    And considering that number plates in this country can be made by any accessory shop/workshop/homemade method, i somehow doubt that using them as a guide will be too effective.

    Nevermind that the biggest leaks in subsidized petrol aren’t aunty and uncle from singapore on a day trip but MALAYSIAN professional smugglers (who’ve got ICs! and don’t pay income tax either ha)

    Want to get rid of any problems, ditch the subsidy and car/spares taxes in one go. No subsidized petrol, no smuggling, no long-term crisis. More than offset by the savings in car purchase and maintenance costs.

    Pretty obvious this announcement is just more empty talk to distract people from more pressing issues.

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  • _xXx_ (Member) on May 12, 2008 at 5:24 pm

    SY0H said,

    “Sabahan’s license plate is marked in Black-Colour as opposed to Singaporean plate which is marked in Yellow-Colour”
    ————————————
    Are u in KK? Obviously you have never stepped into Johor/SG.

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  • _xXx_ (Member) on May 12, 2008 at 5:27 pm

    Pretty obvious this announcement is just more empty talk to distract people from more pressing issues.
    —————————
    Agree. Must be Mongolia or Videotape issues.

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  • Auto_crat (Member) on May 12, 2008 at 9:09 pm

    _xXx_, har…har…har.

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  • hamster (Member) on May 12, 2008 at 9:37 pm

    What about company with fuel cards?… What about rich expats with local drivers?… What about locals buying fuel and reselling across the border?… What about rental cars?… What about… bla bla bla… It won’t work! No matter how you try to curb subsidised fuel theft, it will still happen. To me, the only possible way is to set a quota on amount of subsidised fuel every malaysian can buy. This way, those who use too much fuel will have to pay more. This will force malaysians to learn to manage precious resource. Just a thought….

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  • naikmotoje (Member) on May 12, 2008 at 9:39 pm

    apala… sedangkan time pilihanraya banyak pengundi hantu…??
    itu semua mykad dah clear dari database ke? dapat minyak free la diorang tu

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  • transformer (Member) on May 12, 2008 at 10:33 pm

    Since MyCard are also would be mis-use… Then why not G suggest to use those inedible-ink from India ?

    rakyat had to show I/C to attendant, then attendant would mark that inedible-ink on Middle finger…
    Each Rakyat would be allocated one time fuel subsidise fuel purchase
    isn’t that inedible-ink would stay 7days only…. After that ink gone then can buy again…

    Its time to change…

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  • mofo (Member) on May 13, 2008 at 4:03 am

    Indeed its good idea to me, nothing is perfect to all bros and sisters (if there’s women reader).

    It takes time to enhance the system to reduce ‘oil theft’ and purely benefit to eligble Malaysian. It’s good move/change at least, with using of MyKad they could build up the database and keep tracking of petrol usage of each individual.

    P/S Transformer, yr ‘ink’ idea not practical at all.

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  • ah liew (Member) on May 13, 2008 at 9:59 pm

    Racist Comment: Is it subsidised for Malays & Bumiputra’s only ?

    Political Comment: As long it’s subsidised then we’ll vote for BN or else….

    No offence but it’s the fact.

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  • topgunthang (Member) on May 13, 2008 at 10:27 pm

    i say do away with the subsidy and offset it with 0% tax/duty or any sort of penalty on imported cars and local cars. simply coz our petrol bills (savings in subsidized form) wont amount to the money paid for vehicle taxes. say the average malaysian pays 30-60k in car taxes to the government.

    you would need a lifetime of savings (buying subsizdized petrol) to match that amount.

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  • aaron_38my (Member) on May 14, 2008 at 11:03 pm

    present MyKad before pumping fuel?another ridiculous attempt like Brunei’s foreigner limited refueling quota.E.g. Foreign cars can only refuel B$6.00 worth of diesel or B$10.00 petrol PER DAY at SELECTED KIOSKS only.

    i agree, surely there will be some loop hole somewhere like maybe kiosks would not give a damn whether foreigner or no foreigner would buy fuel from them.After all, its not like they would earn more from not letting foreigners buying sibsidized fuel.OR maybe some foreigner simply borrow MyKad from their local friends to refuel.

    but then again, if this prevents subsidies from decreasing, then I’m all for it whether i like it or not.ever since the fuel prices increased, my wallet has been smoking like hell. Years ago, when I filled RM40 worth of petrol, my Wira had full stomach.Now?The needle won’t even reach the half-mark of my gauge.

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  • SY0H (Member) on May 15, 2008 at 2:27 pm

    Asalamualaikum/Hello,

    I QUOTE from:
    ah liew said,
    May 13, 2008 @ 9:59 pm

    Racist Comment: Is it subsidised for Malays & Bumiputra’s only ?
    (you ask question first…)
    No offence but it’s the fact.
    (then you answer it by yourself, fool!)

    It turns out you’re the racist screwing with the topic. The topic is set as “Subsidised Petrol Only for Malaysians”. It stated there; M-a-l-a-y-s-i-a-n. Unless you’re an immigrant over-staying in Malaysia. For you to judge the rest of the topic with heresay “No offence but it’s the fact” means you’re a confirmed racist without giving any solid reasoning for doing so. So, stick with the topic punk! For your knowledge, the Bumiputra system has its reasons to be implemented in the first place (and I don’t need to re-explain to ignorant like you) and still open for debate for the past 50 years. Bit-by-bit (as agreed politically or rather pressured politically) that this system will be totally dismantle the earliest in 2020. Few good examples of Bumiputra system is being removed step-by-step is the allowance of non-bumi students to join MRSM-Mara, long distance study at UiTM-Mara in which Mara have sent non-bumi students to overseas and almost 50% lecturers at UiTM are chinese and indians graduates and the list goes on with other sectors. Malaysians still have that give-and-take attitude and I must say Malaysian Bumiputera knowadays are sacrificing more of their rights to their non-bumi counterparts. The idea of totally dismantling Bumi system will be carried on that’s for sure. I for myself agree that Bumi system should be abolished but it should be done responsibly. But, I can’t stand watching some impatience people who thinks changes all could be done in just one day. You’re the kinda people that loves to talk-cheap but never actually a problem solver.

    Owh yeah, I’ve been to Johor couple of times, the Singaporean plates is still easily identified by me. I can easily differentiate it even though I’m not a Sabahan. Plus, banning foreign car license plate against subsidized fuel is secondary. The

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  • SY0H (Member) on May 15, 2008 at 2:31 pm

    Owh yeah, I’ve been to Johor couple of times, the Singaporean plates is still easily identified by me. I can easily differentiate it even though I’m not a Sabahan. Plus, banning foreign car license plate against subsidized fuel is secondary. The …

    The topic states that MyKad will be the primary self-indicator when buying fuel. Which is still plausible. At least it will make it harder for non-Malaysians to access our subsidized fuel. Implement it first “Big G” and see the feedback. At least something is improving.

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