Targeted fuel subsidy in final stages of fine-tuning

Targeted fuel subsidy in final stages of fine-tuning

There’s still no word on when the targeted fuel subsidy for the lower income B40 group will be officially announced by the government, but the scheme is apparently in the final stages of preparation and will be revealed soon, Bernama reports.

According to domestic trade and consumer affairs (KPDNHEP) minister Datuk Seri Saifuddin Nasution Ismail, the subsidy plan is undergoing a fine tuning process, following which it will be tabled in Parliament and then announced.

“Although in terms of the timeline, it should have been announced in the first quarter of this year, it is now in the final phase,” he said. He explained that the phase involved much cross-checking of data to ensure only those truly eligible received the subsidy.

Last month, it was reported that the government had revised its approach as to how the subsidy will be offered. During Budget 2019, finance minister Lim Guan Eng had 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.

Targeted fuel subsidy in final stages of fine-tuning

Under the updated plan, 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, similar to that being done for the current BSH programme.

Saifuddin said that the BSH referencing involved cross-checking data with a number of agencies, including the road transport department (JPJ), national registration department, inland revenue board as well as Bank Negara. He said that once the paper was completed, it will be tabled to the Cabinet and if approved, an announcement will be made for its implementation.

Presently, 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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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • Predict vehicle sales data in July 2019:-
    1) Perodua 18400 units
    2) Proton 8700 units
    3) Honda 7200 units
    4) Toyota 5800 units
    5) Nissan 2400 units

    Like or Dislike: Thumb up 7 Thumb down 3
    • tikus on Aug 13, 2019 at 10:54 am

      Good prediction Axxx! Game changing Perodua is still No.1

      Like or Dislike: Thumb up 7 Thumb down 7
      • bruce on Aug 13, 2019 at 11:41 am

        “Last month, it was reported that the government had revised its approach as to how the subsidy will be offered. During Budget 2019, finance minister Lim Guan Eng had 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.”

        Subsidy rate: RM0.30

        For owner of vehile: 100 ltr x RM0.30 = RM30.00

        For motorcycle: 40 ltr x RM0.30 = RM12.00

        Like or Dislike: Thumb up 12 Thumb down 0
        • M. Zin on Aug 13, 2019 at 11:57 am

          For Rm12 saja, and they gave up Rm300 BR1M for that?! Gerenti will change government in GE15.

          Like or Dislike: Thumb up 19 Thumb down 5
  • lilytan on Aug 13, 2019 at 9:56 am

    Giving targeted subsidy ala BR1M is the best way to go. It will go straight to intended person. Simple yet effective. No need to develop fancy & expensive system, cc based shit. It will end up making cronies rich yet wont benefit kampong folks who fill their tanks with soda bottle.

    Like or Dislike: Thumb up 25 Thumb down 2
  • Lolwhut? on Aug 13, 2019 at 10:00 am

    Lol! BR1M by any other name. Rebadging Government.

    Like or Dislike: Thumb up 15 Thumb down 7
  • vVivi Zurianti on Aug 13, 2019 at 10:21 am

    Fuel subsidies matters have been going on for donkey decades in Malaysia. No answers so far…

    Today we are still plagued with “Delay after delay, studies, studies, studies,set up committee this and that”……while the poor continue to suffer and tightening the belt.

    The poor need to feed mouths in their families, every cents count. They cannot wait for the Govt to go studies, fine tuning, or worst case U-turn at the end, etc.

    Why the elected ppl dont seem to do their job well?
    Are we really short of smart ppl??

    Like or Dislike: Thumb up 15 Thumb down 4
  • Presently, the government is subsiding RON 95 petrol for all users….

    Dear Government, please let me remind you that you are not subsiding only RON 95 but also Diesel Euro2 and Diesel Euro 5.

    So what now you removed the subsidy for petrol and expect the public to purchase a Diesel powered car because it will still be subsidy for business purpose>>>

    Like or Dislike: Thumb up 6 Thumb down 0
  • No Cancer No Freak Storm for Next Generations. on Aug 13, 2019 at 2:34 pm

    Ppl should get their ruler to stop all subsidies across the range of all fossil fuel. Starts implementing EURO5 EURO6 emission compliant fuel sold at gas station and restrict high polluting internal combustion engine.
    Don’t ever think that the nation still has rainforest can provides fresh air can negates burning fossil fuel pollution. At certain period every year the air and atmosphere remains stagnant the best example is haze phenomenal contributed from Neighbour Nation.
    In the short run, you may save money from using cheap but dirty fuel on your ride. In the long run, you will incurs heavy expenses and time consuming when you fall sick with incurable sickness caused by air pollution.

    Like or Dislike: Thumb up 9 Thumb down 5
    • Darren on Aug 13, 2019 at 3:31 pm

      That is a different topic, but Government should give subsidised RON95 Euro6 petrol right now. That is what’s promised earlier.

      Like or Dislike: Thumb up 4 Thumb down 6
  • vVivi Zurianti on Aug 13, 2019 at 5:25 pm

    Wait samore for fine-tuning of fuel subsidies……anak-anak at home probably mati kelaparan….

    There isnt any urgency in the Govt, is there?? All relek2 and drink kopi, eat karipap, etc despite the needy and poor waited for donkey years to settle the subsidies problem. And this is still unsolved today!

    Like or Dislike: Thumb up 3 Thumb down 0
  • Just keep at RM2.08 la… Everyone happy… No need keep check phone on Friday…

    Like or Dislike: Thumb up 0 Thumb down 0
 

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