Petrol subsidy programme registration for M40 group to begin in second quarter of 2020, says KPDNHEP

The petrol subsidy programme (PSP) for individuals in the M40 category will be open for registration in the second quarter of 2020, according to domestic trade and consumer affairs minister Datuk Seri Saifuddin Nasution Ismail.

In a report by Bernama, the minister said that his ministry (KPDNHEP) and the finance ministry are currently looking for a suitable method – either by card or cash – to dispense the subsidies to those in the M40 group who were eligible for the subsidies.

“The data for the recipients has been completed and the two ministries are currently discussing on the method of distribution. The government is looking for a seamless integration where consumers will not feel any difference when purchasing petrol once the PSP is implemented,” said Saifuddin Nasution.

Petrol subsidy programme registration for M40 group to begin in second quarter of 2020, says KPDNHEP

“In conducting the study for B40, KPDNHEP felt that paying cash would be more efficient as compared with other methods, so the deferment of the PSP has enabled both ministries to come to the same decision,” he added.

During the tabling of Budget 2020, the government announced that it would extend the coverage of the PSP to include those in the middle income M40 group, with the issuance of a “Kad95” for those with household incomes of below RM4,000 but are not eligible for living aid (BSH) assistance.

For now, it is unknown when the PSP will come into effect following KPDNHEP’s decision to delay its implementation in late December 2019. As such, the public will continue to pay for petrol following prices set by the current system, where RON 95 is fixed at RM2.08 per litre, while the price of RON 97 is floated (currently at RM2.62 per litre).