The Malaysian Budget 2020 (Bajet 2020) will be tabled by finance minister Lim Guan Eng at 4.00 pm today. Stay tuned for possible news on related items such as tolls, fuel prices, public transport, road networks, etc – we will be posting live updates on any automotive- and transport-related announcements made in his speech here.
UPDATE: Story now contains all relevant transport/auto-related points covered in the Budget.
Toll collection
- A minimum reduction of average toll charges by 18% discount will be introduced across all PLUS highways. This is expected to save North South Highway users up to RM1.13 billion next year, and a total of RM43 billion over the entire concession period until 2038.
- The toll rate for the Second Penang bridge will be reduced to RM7 from RM8.50 from January 1, 2020.
- The cabinet has approved the proposed offer to acquire four Klang Valley highways – the Shah Alam Expressway (KESAS), Damansara-Puchong Expressway (LDP), Sprint Expressway and SMART Tunnel – to be funded via government-guaranteed borrowings.
The government says the introduction of congestion charges that will be lowered by up to 30% of the present toll rates during near peak and normal hours and free during off-peak hours will provide a savings to the highway users nearly RM180 million a year, or RM2 billion over the respective concession periods.
Fuel
Petrol subsidy programme (PSP)
- The recently-announced RON 95 subsidy scheme will be introduced in Peninsular Malaysia in January 2020. The petrol subsidy programme (PSP) will have two eligible categories.
The first is for eligible recipients of the cost of living aid (BSH) – the petrol subsidy receivable will be RM30 per month for car owners and RM12 per month for motorcycle owners. This subsidy will be in the form of cash transfer, deposited into the recipient’s bank account every four months. The first payment will be made in April 2020.
The second covers all other motorists who are not BSH recipients – they will receive a special Kad95 which will allow them to enjoy subsidy on RON 95 petrol at a discount of 30 sen per litre, limited to 100 litres per month for cars or 40 litres per month for motorcycles. The Kad95 will be implemented progressively during the first quarter of 2020.
Once the PSP is introduced, RON 95 retail prices will be gradually floated. The fuel subsidy will kick-in whenever the RON 95 market price, determined by the Automatic Pricing Mechanism (APM) is above RM2.08 per litre but no fuel subsidy will be given when the market-determined APM price falls below RM2.08 per litre.
- RM2.2 billion has been allocated for the PSP, which will benefit more than eight million motorists.
B20 biodiesel
- The government will implement the use of biodiesel B20 for the transport sector, starting from the end of 2020. Expected volume is 500,000 tonnes a year.
Roads
- RM1 billion will be spent to improve roads in the country, with RM326 million being allocated for Sabah and RM224 million for Sarawak.
- Work continues on the Pan Borneo Highway, but the government says that it has saved RM1.2 billion in costs for the project.
- RM50 million will be allocated for the repair and maintenance of roads leading to Port Klang.
Autonomous vehicle pilot project
- The government will set up a contestable grant fund to spur more pilot projects on digital applications, which will also include autonomous vehicles.
Public transport
Unlimited access monthly pass
- Since its introduction in January last year, the My100 and My50 unlimited access monthly pass has benefited 120,000 users.
Buses
- The government intends to invests RM450 million to acquire up to 500 electric buses of various sizes for public transport in selected cities nationwide.
- The government will further support last-mile connectivity in rural and urban areas by subsidising bus operators with an allocation of RM146 million next year.
Railway
- The government intends to proceed with the Rapid Transit System (RTS) between Johor Bahru and Singapore. No timeline for its implementation was given.
- The rail tracks from Gorge Line between Halogilat Station to Tenom Station in Sabah will be upgraded at a cost of RM50 million
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Abolish AP dan duti eksais mobil. Bossku plss,
Nothing about the AP. This is because they know the abang abang need the tongkat and AP system to fill their pockets up.
How long do we need to support this system of entitlement?
Digital Service Tax gonna hit lazada & grab…
Budget 2020 had to be reduced because many billions were used to keep Utusan alive. So now Gomen got no money to give the rakyat back
What a waste of money
SUCH IDIOCY…! Since when did PH Govt spent money on Utusan..? Which is ridiculous since you’re saying this same PH Govt which issued directive in 2018 NOT to purchase or subscribe to Utusan for internal circulation…!
Who would believe your nonsense dribble anyways.
I feel government is doing the right thing. Or, at least they are trying to fulfill as much as possible.
aiyaaa…if abolish AP…”u know who” will make noise about maruah
too bad. they must learn how to work hard in life.
20 years MAI tell us that we are going to abolish AP but they know abang abang sell all their AP to Chinaman.
Every year we kena tipu kaw kaw.
How long must 30 million rakyat suffer just to protek protek protek the abang abang?
last time Utusan tell us AP is very good for the rakyat…..
New Government means just the Cabinet has changed. The 1.6 million Government servants remain the same. They don’t like to work hard and want easy money. This is why even this new Government never talk about the AP system.
It is the same people then and the same people now. They want free money with minimum work done. And they demand special discounts, special privileges and special high interest bearing accounts.
Dont be a moron. New ministries mean they can change the regulation like AP etc. They have power to ask their servants. The thing is, they dont. Stop simply blurting blames to the previous gov. They did a lot of mistakes so Chedet gov’s should do something, very fast. Ini tak, terkangkang2 memimpin.
New Govt?
GO check during who’s reign was the AP system introduced… then u will know why this “New Govt” will not touch the AP…
AP was introduced to help the Bumiputera venture into the car business. But pulak, the Bumiputera sells ALL the AP to the Chinaman and never set up car business.
So, what is the purpose of the AP?
This and many other contracts are the same. The people it was intended to help always sell it off to others. So, why even award such contracts?
AP cannot be abolished because each AP holder must make a few RM billions untung per year.
30 AP holders enjoy whilst 30 million people suffer.
And the best part, the AP holders do not emply Malaysians at all. Go see any AP showroom, 98% of their workers are all bangladeshi.
Time to stop this AP nonsense. Give people oppurtunity, they sell the AP to other people cause they malas want to do work.
Can we trust these jokers? We can’t even trust their Manifesto promises!
I agree with you because it is the same type of rent seeking people doing the same Ministerial jobs. Always looking for free free free.
what a load of bull! current ministers are weak and this joker want to lay the blame on those who carry out ministers orders/directives… dey, ministers can revamp their ministries la, can replace staff la kalau tak perform macam you claim, how come dont want? because miniters all malas. clock in 18 hours, but just layan FB/twitter and PUBG.
What to do? It was Mesian people got blinded to vote is these unqualified jokers to be Ministers. So next time, pilih baik baik, jangan dengar janji manis saja.
rise of excise duty is confirmed.
No more fuel subsidy. Reduce SST.
Each warganegara malaysia can buy 1 car TAX FREE. Choose wisely. Only 1 car tax FREE per IC.
Since petrol price is floated.
Car price also floated… tax free
Tokong and kerepot will rise. Pechaya laaaa…
National Transport Policy will be launched next week, shouldn’t have any major announcement today.
I miss the previous government.
Today’s budget tabling has nothing worthwhile to look forward to. Not even a hint of a new incentives. Bracing myself for when they start to change the road tax mechanism.
I made a mistake last year for voting them in. I’m so sorry to all of you for my mistake.
lol..some najib buttlicker pretend to regret
Said the PH buttlicker whose side has nothing substantial to offer for the rakyat. At least Najib gave us a world classed MRT line. WHat did PH give? NOTHING except maybe PLUS will be re-piratised once again by Madey cronies.
Wait for next Budget 2021.
Hoursepower/kW based road tax for EV/Hybrid/Gasoline cars. Standardized.
https://paultan.org/2019/09/06/govt-studying-new-ways-to-stop-road-tax-leakages/
https://paultan.org/2019/03/11/local-ev-road-tax-to-finally-switch-to-kw-based-rate/
1.5Turbo, Road Tax RM90.
Honda Civic can go beyond 170hp/250nm.
2.4L NA, Road Tax RM780.
Honda Accord – 170hp/250nm.
This is Road Tax Leakage, ~RM700/car. with only 500,000 units of 1.5Turbo- lost ~RM 350,000,000. At least RM350mil lost per year. We have Small Engine Turbo range form 1.5L to 2.0L turbo which gives up to, which is more powerful than 3.0L Benz NA R Class 231 hp
TIV 2018 Almost 600,000 Units. Over the past few years and for next few months, We can easily have over 500,000 units of small engine Petrol Turbo BMW, Benz, Honda, VW and others running on the road.
Goverment has been sponsoring T20, but not quantified yet.
‘Saifuddin said that a total of 2.9 million people are expected to benefit from the new subsidy scheme, which will cost the government about RM65.4 million a month’.
https://paultan.org/2019/10/07/ron-95-petrol-subsidy-scheme-details-announced/’
They already considering removing small engine big horsepower ‘road tax subsidization’. 2020 onwards we are getting more Electrified Vehciles, and Turbo cars too.
Imagine Perodua bring in Daihatsu 660cc Turbo. Road Tax RM20/=?
How much money Goverment will lost? It’s ongoing discussion, till they are ready.
What about child car seat? Any news?
That is an important topic though. No mentioned?
Besides Plus and Gamuda Highway, IJM Highway will be the next about takeover offer which will be next year
Nothing for Penang public transport transformation plan? At least something? No? Ya, great…
Wait…. No flying car development???
Where is the flying car??
Just wait and see…both govt is famous for “say one thing, do another thing”
Really a good start for us. Hope more improvements can happen in Malaysia.
Wow.. it cost RM25million to think how to pay petrol subsidy RM1 per day.. n RM12 for motorbike per month…. super genius idea that cost RM25 million… SPRM tk nak siasat?