The government is expected to finally announce the targeted fuel subsidy scheme soon, and it looks like the original plan to offer subsidies based on vehicle engine capacity has been dropped, the Malay Mail reports.
During Budget 2019, finance minister Lim Guan Eng said that the government planned to subsidise owners of vehicles and motorcycles with engine capacities below 1,500cc and 125cc respectively a subsidy rate of 30 sen per litre, for RON 95 petrol. This would be capped at 100 litres per owner of a vehicle and 40 litres for those with motorcycles.
The scheme will no longer utilise this method, and will instead switch to cash being directly given to lower income households already enlisted for the cost of living aid (BSH) scheme, sources within the domestic trade and consumer affairs ministry (KPDNHEP) revealed to the publication. They said that the government plans to review the disbursement mechanism every quarterly.
The decision to distribute cash to eligible recipients – similar to that being done for the current BSH programme – was reached after prolonged deliberation, one that saw policymakers considering multiple proposals for nearly a year.
Economists have said that such a method would be “difficult” to implement and prone to leakages, given the lack of reliable data to accurately identify the poor. This often results in benefits not reaching the intended target, or even leakages that end up channelling resources to undeserving households.
However, sources from the ministry said that the government had built up an improved database, one that has updated income/vehicle ownership information extracted from BSH and road transport department (JPJ) data. “We will use the BSH list to decide who gets the cash. We can cross-check it against data from JPJ. From there, we can see who owns what vehicle. Those who don’t own any will not receive the cash,” one of the sources said.
Another source said the government has devised “other safeguards” that can be used to vet applicants against their income and vehicle ownership data. “There will be other ways to check but let’s wait for the minister. He will explain,” he said. Domestic trade and consumers affairs minister Datuk Seri Saifuddin Nasution Ismail was expected to announce the cash petrol subsidy programme on Wednesday, but this had to be postponed as he had to be in Parliament.
Currently, the government is subsiding RON 95 petrol for all users, capping the price of the fuel at RM2.08 a litre. According to official data from the government, Malaysians use about 1.2 billion litres of petrol monthly, with up to 90% of consumption being for RON 95. It was also previously reported that the price cap on RON 95 petrol will be lifted once the targeted fuel subsidy scheme comes into effect.
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Another cost increase for ordinary people on the street for removing GST.
So right bro. GST revenue lost during tax holiday in 2018, money to abolish tolls and AP.
Actually, we should follow Singapore. Both countries Merdeka same time and yet, Singaporeans don’t need subsidy and all that. 60 years they have worked so hard to have a GDP per Capita of 3rd highest in the world plus their currency is super strong.
In Malaysia, the subsidy mentality, bantuan kerajaan and entitlement attitude has made us very lazy.
We should do away with special privileges and motivate the rakyat to work harder. We must aim to be like Singapore.
Pampering has made us lazy and not competitive globally
https://paultan.org/2019/05/27/plate-switching-singaporean-bmw-under-investigation/
Yeah we should follow Stinkipores. BTW may I know whats ur number plate so I can fake it? U know, just following ur advice.
What’s your point here? Name calling, but can’t argue intelligently. This type of comment will only cause the world to look down on us Malaysians.
Cue the unsatisfied kiasu to come and defend his countryman from his stupid actions. Stop trying to act like you guys are saints just because you’re richer. Being rich doesn’t mean you have the moral high ground to lecture others.
Provided you have very smart and intelligent leaders like Singapore. However, we have not seen in Malaysia yet. So, your formula tak boleh pakai!!! But with the cap uplifted, be prepared with crazy inflation….. Price of all goods will shoot up…
what makes you think our current leader isn’t as smart and intelligent? i have high admiration for Dr.M despite now living overseas,i’m confident that if the rakyat willing,he will be aggressive with the economic policies,but to get the willing rakyat is the key
don’t blame everything on corruption,yes malaysia had corrupt officials but to attribute every failure to this factor is just trying to find excuse with rakyat own attitude and lack of productivity
Lol! Isn’t that the same as BR1M! Why make a big round just to reinvent the wheel?
So this meant the middle income again loses out. Bunch of jokers. We expected better but all they did is rebrand & revive the same programs done by Najib.
The M40 voted him out because of this, and we will make sure to vote out PH if they don’t see this coming.
Fully agreed. all they did is rebrand & revive the same programs done by Najib. Spend in hawaii and jakel italy for official purpose, not 1Mdb.
we will make sure to vote out PH ,
Quick! I have to tell my bedridden grandpa to faster get a motor so that I can use his BSH petrol subsidy. Haha! Look how smart I am now. So don’t blame me for breaking the system that quickly. Jangan marah-marah ;-)
Buy RM9000 motor. BSH petrol subsidy get Rm30 per month, xsangsi Kak Norlia mmg smart
Bang, xpernah dengar sekenhen motor ke bang? 400 pun dah dapat.
1) Free float for RON95 & 97
2) No Rm1.50/l petrol as promised
3) BR1M is revived to subsidise the poor
4) The middle income have to foot these extra cost w/o the benefits as promised.
5) New tolled highways sprouting left & right.
6) Mega expensive projects sprouting left & right.
7) National car project is back again
8) Car prices are going higher & higher.
9) Menteris more bothered to make scandals than help people.
10) Complaints are not heard or Menteris says there is no problem or tak suka boleh keluar.
I didn’t realised our government has reverted back to olden BN corrupted days again. When did this happen and why had we voted PH in the first place if this was coming?
Bro ur facts itslef are wrong 1.50 for petrol ge13 promise not ge14. Dun release fake news man.
other than BSH, those of us under Angkasa, PTPTN blacklist, CCRIS, CTOS, Insolvensi should be eligible poor recipient too.
Why didn’t they bring back the Ron92 instead. Another choice for those that needs it.
I presume that the subsidy is “per car” basics right?. What if all the car at home belongs to the father and has 4 cars under his name on all the cars that’s below 1500cc? Debatable?
This scheme is to help the low income group, if somebody has 4 cars, I don’t think they are poor.
So i should not be worry isnt. Euro5 Diesel user here
30 sen x 100 litres = rm3.00?
Then multiply by 12 months? I pass.
RM30 I guess
Whc school that u go?
0.30sen x 100 = MYR30
So my Civic 1.5T no longer qualifies :P
Driving Civic 1.5T want to consider poor?
Your 1.5 T must be 1499 cc, isn’t it? So still entitle lah!
Just leave the fuel capping mechanism in place. Its working. The PH gov surely realises that by reverting to the failed floating mechanism, it will cause prices of everything else to increase again as the traders use the floating fuel price as an excuse. The gov just has to accept the subsidy cost and move on. I know of many friends and family whom have claimed that they will withdraw support for PH if the fuel floats again causing inflation
Well, there goes another P2 selling point vaporated. For months, P2 salesmen has been harping about their cars qualified for petrol subsidy. What do you have to say now?
This is called “all talk but no go”. This so called new government never think before inform to the masses. What else the government is going to say next? Stop manipulating the rakyat wei. Many people are relying based on the info fed by the govt.
Can buy new phone……
HAHAHAAA… so much hoo haa for the past year… now its back to the system introduced by previous BN govt…! Brilliant…! Nice job idiots…!
Pru15 we all kick out PH many U Turn from previous promises during pru14. Bad PH governing .
But are we really going to expect BN will going to do better?
You will know very soon. When all prices shot up with an ailing economy getting worse, you will know what to do next!
You want to remove subsidy then stop jacking up car prices lah.
Cash is king back!
Prevously, the subsidy on each liter was roughly 80 sen per litre, with gradual reductions. Let’s assume rm1 per litre. If you drove 20,000 km a year, at a poor fuel consumption of 10l/100km, you’d need 2000 litres. So your subsidy was 2000/12= rm166/mth. If you were too poor to own a car, and use a tenth of that for your bike, you would have got rm16. Anyhow if people are really that desperate to get rm166 as a “reward” for owning their car, and get more govt assistance the more they drive, then do it. Put a form with reasons why you need a subsidy, submit your payslip, crosscheck with miti car price and jpj vehicle information, then get your money. If i see anyone with a BMW trying to get a subsidy, watch out.
It’s not so much about the amount of subsidy. It’s all about inflation with stagnated income of the people. We have seen and the govt can’t do anything. You can’t act naive on this. The govt has to find a solution to curb inflation first before removing the subsidy!!!
If we import gas from overseas then it’s a subsidy. We drill our own (even u argue it’s processed overseas), so u are merely sharing the profit with Rakyat.. Don’t see that as problem. Plus in terms of car/ petrol, u have cut out a big pie from the car taxes already .. Really want to squeeze out the last drop from us? The top 20 and m40 pay their taxes too. Remember that they. Looks else where to make money for the country, don’t be dime smart and pound foolish!!
Which country in the world provides produces high quality high value products and uses it for themselves, not exporting to gain export revenue? Look at Norway to learn how to manage oil resources, not inside your own feeble simple mind.
Why should someone with a car or motorcycle be categorised as poor. The government should instead subsidized those who pay taxes. This should motivate people to go and find a job. Reward those who contribute to the country not someone who sit on their butt and wait for subsidies. Do not rely on BRIM data, cause I know of someone driving a brand new MYv and getting BRIM!!!
I use to always complain on car prices. Like everyone else. Hate being tax so much for the car. Till I suddenly realize. Its not that easy. If government were to reduce the tax, (not like I love paying for tax) whether drastically or gradually, the impact is all over. Imagine what will happen to those 2nd hand car dealers whom have bought in those cars at a market value price base on old. And when price drops. Basically they can close their business due to lost of margin. Also our own cars where we bought at current market value say 50k hire purchase loan. When the car value drops. What about our own cars? Don’t factor trade in as the new car is cheaper as well. But what if we want to sell the car to clear the loans. Its basically losing out as well. So pls do have a thought on this.
As always hangat2 tahi ayam. How to trust them?
An increase of 10 sen p/litre will make the cost of teh tarik to increase by 30 sen p/cup…that’s only one example…people ..be ready for the big inflation !
I’m willing to let this subsidy go even if i’m qualified for it. It’s not worth the hassle.
In front of us, all they do is for the Rakyat. Back to their hotel room, well, it’s for everything else