Yet more on the targeted approach to fuel subsidy being planned by the government. Earlier this week, finance minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said that a mechanism for targeted subsidy is being tested, and that the system would be trialled for between three to six months before it is implemented.
Now, a potential method that might be employed for the format has been indicated, and it comes in the form of e-wallets. This was revealed by Datuk Johan Mahmood Merican, deputy secretary-general for policy of the treasury at the ministry of finance.
Speaking on BFM‘s The Breakfast Grille morning show yesterday, he said that trials utilising e-wallets was already underway. “We’ve started a pilot test with petrol stations using e-wallet platforms. We’re looking at another between three to six months of testing before we’re ready to go live, because it is something that we don’t look at lightly,” he said, without providing any details on how the system works.
He said that the government needed to ensure that everyone would be able to use the system. “Those in urban areas may be very used to e-wallets, but this might not be the case in rural areas or for the elderly, so we need to ensure that it’s really something easy to use, and upon implementation on a nationwide level, does not create too many problems for the rakyat,” he said, adding that the ministry would also continue to look at other methods.
Previously, finance minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz said that a big chunk of the fuel subsidy in the mechanism in place right now is enjoyed by the top 20% of earners in the country, at RM8 billion compared to the RM6 billion benefitting the bottom 40% (B40).
The government is hoping to address this with a revision of the mechanism for electricity and petrol subsidies to make it more targeted and focused on those who need it. Johan reiterated that the current imbalance meant that the removal of a blanket fuel subsidy was imperative from a financial viewpoint.
“When we look at our household expenditure survey, we note that on average a typical B40 family spends only about RM165 a month on fuel, whereas the T20 spends about RM500. They benefit three times more in subsidies compared to the B40,” he said.
He said the challenge would be how to enable the B40 to enjoy subsidised prices, but have the higher income earners pay higher prices. “The question is, how do you segment it? How do we engineer a mechanism where the pump prices are higher but the mechanism allows for identified groups such as the lower income or even the M40 to be able to buy at least a quota of fuel at a subsidised price?”
One way it can be done, he said, is by “trying to replicate what we experience for our Tenaga (electricity) bills, where you consume less, you pay a lower rate, that’s what we’re trying to work on.”
“The challenge of implementation is, whereas an electricity bill is one meter per home, more than one person from a household can go and purchase fuel, so we need a system that is adaptable and will enable us to allow the targeted groups (B40 and M40) to access the subsidised fuel,” he explained.
Questions abound, plenty of them in fact, since no one knows the mechanics of the system that will be employed. Would the format involve RON 95 and diesel prices having their price cap being removed completely, with those in targeted B40/M40 groups given a subsidy in electronic credit to offset fuel purchases?
Would there be a determined amount of credit on a monthly basis, with the first RM100 or RM200 being fully subsidised, with prices subsequently climbing with increased usage (even if you’re in the targeted group), as per how the electricity bill format works? Does this mean that payment for fuel can only be made electronically (cashless) in order to obtain the subsidy?
There are many more questions, including as to how the new system would work at preventing price hikes elsewhere (as fuel prices increase as a result of blanket subsidy removal), but until details come about, it’s all conjecture. What’s your take on the e-wallet angle? Share your thoughts with us in the comments section.
Looking to sell your car? Sell it with Carro.
Be prepared for another round of price hike after this is implemented. Prices are already at all time high no thanks to global inflation happening. In the end the B40 is gonna crash and burn due to daily necessities being expensive.
Fully agreed.
Immediately after implementation of this e-wallet subsidy thingie, there will be another round of price hike!
This B40 e-wallet petrol subsidy ONLY cover the price difference between current and non-subsidized petrol prices.
The impending fuel-pushed cost price hikes will be across the board!! Every darn basic necessities prices will soar! B40 families will be in tears again…..
Our fuel subsidy is humongous but when oil prices plunges to US$30 again, the extent of the subsidy will consequently fall.
It’s the volatility of oil prices – they rise and they can fall and never permanent, but basic necessities price hikes are permanent!
Besides, we are a net oil exporter-larr…….
According to our FM, the T20 enjoys 60% of the petrol subsidy but they pay the most car tax! All Malaysians will want to hope that world oil prices will eventually plummet and overall subsidy will fall in concert.
And world oil prices will fall eventually after wreaking havoc on the world economy!
Its very straight forward, no need anybstidy. Diesel for commercial, lorry bus van truck all categorized comercial . Comercial is boss boss millionair doing business and please MOF by AUG-2022 can implement floating the DIESEL price, no need study either 3-6 months, 3-6 yrs or 3-6 decades… MOH dont keep talking only…
Do you think the biz owner will bare the cost of diesel hike? They will incorporate the cost into the product/service price and consumer will bare the cost. You are indeed a true blue sohai.
Be kind to gomen
Be ready for GE15
Be prepared for after GE15
Pay what should to be pay for… only true sohai kasi boss millionair subsidy…
bank ada 10M cash, tapi tak kerja, B40 juga ?????
Kena tengok category “BERSARA” ade kena tak
Atau “BERSARA” mampu beli kereta besar BARU
We shall know by Oct/Nov
Budget 2023 will be released
Sooner everyone consider I-MMD
BANTUAN TUNAI kpd B40
BANTUAN TUNAI kpd PERSARA
BANTUAN TUNAI kpd SURI RUMAH
BATAL SUBSIDI kpd T20
BATAL SUBSIDI kpd M40
BATAL SUBSIDI kpd diesel
BINA LEBIH pengangkutan awan
BELI LEBIH bas utk BANDARAYA
BAGI CUKAI BEBAS utk KERETA EV
The current gomen should fuel subsidi. Period
Gaji naik semua diam-diam
Lagi dpt SST-BEBAS 2tahun
1 orang 2-3 biji kereta ada jg
Jgn apa pon nak menang lah
all this splitting hairs on subsidy is not going to help the b40. why not open more opportunities for them to improve their lives? teach them how to fish, not keep giving them fish…
All The money meant for the poor ended up with the bumi ruling elites using the NEP. I bet they grab most of the scholarships, awards, special privileges.
Kampung baru land grab is a good example.owners under malay reserve gets RM800 psf after Bumi ruling elites use gomen forced acquisition and would later convert it to freehold and sell to non malays for RM2-3k psf. Easy peasy money.
If the gahmen teach the biforti to fish. Later they will bite them like T20 (gahmen call them ungrateful bhasted).
So they need to drug (bantuan) them (biforti), so they will ketagih with bantuan and vote them.
And they (gahmen) live happily ever after.
Simple, efficient & effective solution:
200L Petrol Limit
– Qualified B40 & M40 given quota 200 Liters of petrol or diesel monthly (subsidised price RM2/Liter)
– Above that limit, you must pay actual non-subsidised price (RM5/Liter++)
– No carry forward of unused petrol limit balance for next month
– Buy using petrol card with automatic limiter & price settings by govt, can be accessed via Apps
Petrol card much easier to use just like using debit/credit card which already built-in system by all petrol stations and price mechanism also done by same system
Petrol card can be registered online or offline at any petrol stations/post office/UTC counters etc and can be self-collected or mail delivered to your address
Of course only for Malaysians citizens with Mykad.
Future revisions:
– Once the system in place and proven effective, govt can issue specific card for SMEs/commercial diesel usage also with limit quotas
– Limit for only specific cars eg. below 1.5L car engine & local CKD assembled car / motorbike below 250C
Good idea..
Like it or not. Is one way OR another
We won’t be getting cheap fuel forever
EV is already available. TNB is cheap
Else take public transport more
Gotta think for the environment
The karate dude in Yip Man 4..said”I dare u”.So,if so gung-ho,float petrol price tomorrow…no need all these talk 3 talk 4.One day,said garmen can manage subsidy,another day,said testing,Just bring it on..,and don’t chicken out n u turn like KJ “s dadinlaw.
Well as Thanos said: It is Inevitable. Like Covid, even the last most secluded country no longer could avoid infections so the same with global inflation. But do we care, no as we have 500,000 cars on order backlog. This ontop the record sales from last 2 years I might add. That’s crazy!
But in all due fairness, the Government is doing well to consider the wellbeing of its most vulnerable community and while many have dissed about subsidies & cash handouts, the UK, Japan and many richer EU nations are following Malaysia’s way to combat this inflation.
It bodes well that while inflation is creeping up, it is still well managed from a global perspective, whom the average is 8% versus 3-4% in Malaysia. However it doesn’t seem as if they have a concrete plan to go ahead with the target subsidy strategy yet so fingers crossed the Russia war will end and prices normalised by the time it is ready to roll out.
setting currency 1myr = 1sgd
settled
This is like 60yrs ago
Gov should utilize chip on IC. No need to use new method(spending more money on that). Not everyone have that ewallet. For example my old parents at kampung.
Gov just use concept of ic but in paywave. Much more easy an convenient for now. Also give subsidy to all malaysian but limited quantity.
For example every 16 years old citizens and above entitle 25 liters subsidy of fuel per week. (16 years old can have license for motorcycle). Its means each warganegara entitled 100 liter subsidy of fuel per month. Just example.
Any usage more than that, consider pay normal market price.
If this one is success, can implement next to cooking oil subsidy. No needla each subsidy items need to use another method. Comeonla gov, be creative la to save more and money.
Agree to fully utilised the Chip in our NRIC.
Don’t you know the chip on our NRIC hiasan only… Develop juta2 for nothing (quality like shyt). Always rosak and need to go to JPN for F’ing replacement.a
Cannot creative.
Creative = Cannot drain money
1) Feasibility study = easy money
2) System development, R&D = easy money
3) Etc etc…
See? You think how they manage to maintain their lavish lifestyle?
K-I-S-S: Register and get approved to be eligible for subsidy which can be based consumption, otherwise pay full price. Will also solve issues with business/foreigners enjoying fuel subsidy
Habisla, barang Naik gik. syabas!, itulah slogan anda, “Barang Naik, rakyat menderita”.
Just give cash direct bank in la, better than what Pak lah did in 2008 have to go to post office.
Let’s say average one family usage of petrol in a month is 180l, so if petrol at RM4 per litre, gov just bank in just like BKM, RM1.95 x 180l = RM351.
All system must have hardware and software and manpower so sure go to vendor/contractor. Do you heard about ‘sumbangan pilihanraya’? Brothers, daughters, friends get contract?
B40 but have to travel a lot how?
So the subsidy funded by B40/M40? If u are being taxed higher but don’t enjoy the benefits, would u continue to do your citizen duty duly?
As responsible tax payer in malaysia, but cannot enjoy the subsidy? WTF?
If the government cannot afford to subsidies fuel, we the people cannot afford to pay high taxes for car’s!!
Sistem zakat kan dah ada, dah jelas siapa yang perlu keluar zakat, berapa kadar kena keluar dan siapa yang boleh terima zakat. Apa yang susah sangat?
Ape ko merepek ni?
separa betul & setuju. tapi yang bayar zakat cuma yang beragama islam. bagaimana pula untuk mereka yang bukan beragama islam & tidak bayar zakat. profil mereka takkan ada dalam sistem zakat.
Bukan semua bayar zakat. So susah la.
ni lagi sorg cakap tak realistik, ni mesti ahli pas. ko tau tak kenapa malaysia ni ada sistem cukai? sebab kalau mengharap pada zakat semata-mata, malaysia ni tak cukup hasil untuk buat apa pembangunan pun, lagi la nak bagi bantuan pada rakyat. cakap tu pakai otak sikitla mail oii. kalau ko tinggal kelantan tapi gaji 4k takkan sama dengan orang tinggal kl tapi gaji 10k. takkan sama.
Ahli pas = Ahli surga
Cannot argue with them, later you’ll go to hell.
“When we look at our household expenditure survey, we note that on average a typical B40 family spends only about RM165 a month on fuel, whereas the T20 spends about RM500. They benefit three times more in subsidies compared to the B40,” he said.
What was your research sampling plan. I was not in the research. How many of you are in the research?
Why T20 use more fuel? Because they do not mind to travel fast to work to get a good job with good pay. Me as example, I am travelling 90km both ways to work. I arrived now at the office, waiting start work at 830am. In fact, I arrived at 715am. I came out early to avoid traffice congestion.
Those who earn less, my production, warehouse and lab technician all stay within 10km from factory. Of course, spend less in fuel. I guess many will absent today again because of raining. They have all sorts of lame excuses for not coming to work on raining days.
So, all the companies should follow government style to tell salesman no need to help them earn money. Boss will reward lazy salesman for their low sales and exploit high sales personel. All salesman can just sit down and wait for free lunch. Let’s see what happen to the companies in long run!!!!!!!!!
We work hard to become T20 but we are not being appreciated for contributing high income tax. I studied MBA last time after working hours and sacrified personal time for study. What did these low income people do to increase their income? Why must use my hard earned money paid as tax to subsidize them?
Nah it is unlikely a B40 family can spend only RM165 of fuel/month especially in the city unless the government assume 100% of B40 only uses motorbike and no car. Brilliant analysis.
Completely agree with your statement.
However, what my statement here will be very unpopular.
As there will be leakages anyway no matter how our government controls it, and they do not have any good track record anyway, best to just remove all subsidies for everything including petrol, cooking oil, electricity, chicken, etc…
Subsidies are artificially keeping prices (and more importantly, salaries) down and Malaysians do not know the real world costs situation. The government just wants to keep some people poor while ministers continue to spend extravagantly themselves. These poor people will then continue to vote for them out of gratitude because of these subsidies.
The vicious cycle continues and people are hoodwinked. So remove subsidies, let market forces decide costs and salaries and everything will re-adjust eventually. During the painful but necessary process, society will weaned off on handouts/affirmative action or whatever you wish to call it and work harder to progress our nation.
Thats the plan. Doing this will cause more inflation and M40 will become B80 soon. B80 is addicted to BRIM so will keep on voting kleptocrats.
T20? They don’t need your votes, just need your blood(money).
Oil prices rises and lowers but once the chicken rice and roti canai prices goes up, that’s it! It will never come down.
If really wanna help B40, just leave the current system be. Once implement this, regardless how useful or helpful it will be, prices for other stuffs will just naik. And if gov decides to ‘un-implement’ it, the prices will hike another round…
Yup. Once abolish subsidy totally all price going up and will never going down. Give back subsidy triple value also price will never going down back. Stuck forever roti canai RM1.20, for example.
Reduce income tax lah so that rakyat have more disposable income. They did not say T20/M40 contributed a lot via income tax.
Or change government lah. For sure this is political suicide move.
Why don’t you set the fuel price based on vehicle driven/possessed or even cross the data with family income too so you can really define whos B40 M40 T20? Data can be verified through IC. Don’t worry about data misuse as our data already been misused what?
Withdrawal of subsides, citizens will revolt. Reduce the cabinet ministers and the advisders. Reduce their pay by 50%.
Why cares about the 20% of tax payers? Not that they can do anything if I charge them more taxes and prices.
All I care is the votes of the B40 and slightly more than half of the M40 votes to get in power.
This guy has the right idea.
sooner more B40 in this BN land
And easy for them. Their target is B51. Easy to maintain for power till apocalypse.
Minyak naik barang naik. Minyak turun barang tk turun.
So gomen got subside everything else after oil hike? U know that raising oil prices means raising prices of everything else imaginable
haiya no need to think hard hard lor..just integrate with BKM and direct bank in la. cash is king
No need to do anything.. just wayang that doing study la, doing trial la.. Just need to look like doing something for the rakyat esp the b&m’s.. ..Once election comes and goes & same faces still remain in power, MISSION ACCOMPLISHED
Yup. Yg penting dpt bodokan rakyat.
1. How is the credit in the e-wallet maintained,:
1.1 Is it pre-topped up by the government?
1.2 Is the credit topped up by the B40/M40 owner?
2. Can the Fuel station easily detect or easily identify an e-wallet owner when he/she make purchase at any fuel station, so as to approve his/her purchase?
3. Do look into the needs of the rural community, who are very far away from the fuel station, that takes some 7 to 8 hrs drive from their kampung to buy fuel stock for the monthly needs.
To make this trip, they need to buy additional stock of fuel in jerry can, for topping up their car, to reach their destination, else they may face shortage of fuel halfway along the road during their journey.
My suggestion on this is to grant each kampung JKKK special permit to purchase diesel and RON 95, for their kampung monthly fuel stock.
Government should implement fuel Liter subsidy policy. One citizen allows to own 1 Car and Motorcycle (Based on Vehicle registration) for fuel subsidy. For Car is 160L subsidize fuel per month and 40L can carry forward to next month. For Motorcycle is 40L subsidize fuel per month, 10L can be carry forward to next month. Both Quota can be combined.
When pump petrol, you required to use IC to check your fuel subsidy entitlement.
For company private registration vehicle, it required to use petrol card. Petrol Card provide the 30% off of the market price with daily cap RM 100 (to prevent refill petrol to sell others party). Every time refill required input ODO to prevent resell to others party
For Diesel fuel for commercial vehicle required Petrol Card provide the 40% off of the market price. Every time refill required input ODO to prevent resell to others party
Don’t want to give, then don’t take as well. Remove subsidy or only subsidise those u deem fit, but don’t impose excise duty on cars. Charge the 6% sales or gst only. Expensive cars pay bigger in dollar but everyone is at same rate.they have money or not is not ur business..u have income tax bracket to take care that part of equation already! Play it fair.
Higher income earner already pay higher price by paying more tax.
seems like this government keep on pressing T20 but do forget this group of people also contributed the most to your government income. Same go to M40.
Penalize those who learn fishing hard and now earn what they deserved, and subsidize those who only want other to feed them is just non sense.
“where you consume less, you pay a lower rate”
Horrid idea.. but how about fuel prices that exponentially increase in price the more you pump?
+ Slowing down speed of pump to discourage users from repeatedly visiting a petrol station to overcome prices.
Soon will have Malaysian yellow jacket movement
blood suck this gov, remove most subsidize previous ask you use less when price hike, sendiri enjoy life je.
Mereka selesa.
Mereka x rasa penderitaan rakyat.
Adakah nk kne tembak mcm di Jepun bru nak betul2 buat kerja?
Brp saiz kaliber peluru yg mrk mahu di tengkorak mrk agar mrk kerja lebih berkaliber?
Marvelous… Mat rempit can continue enjoy cheap fuel so that they can rev louder in dataran merdeka.
Are you aware that Mat Rempits don’t pump R95? In fact they hardly pump R97 too. They actually pump Shell V Power that cost over RM5.50 per liter. Just go check
This wouldn’t work well. There are many who are actually part of T20 but due to fake tax statuses, categorizes as M40. Plus the hike of goods is inevitable
M40 forever wont get anything one lah but tax still pay
Who say M40 got nothing? We got squeezed in the middle dont we… hahaha
when gov keep complaining all the malaysian professional migrate or work oversea rather than come back to help the country , you see this is the reason why . T20 is the all professional the country need , they contribute more tax , they driving the country move forward .While Others country keep attract T20 to their country , malaysia always the opposite way .
those gangster type, Ah longs, smugglers, bribe takers will still benefit from the subsidies because they don’t declare their income lah.. so again, yg kena are the hard working law abiding ones where every Sen is accounted for
solution : fired current government. choose new government next election. choose creative people, wise decision people, old or young doesn’t matter as long as functional, don’t choose people who keep giving excuses, born in rich family (tengku2), choose people who appreciate m40, not just giving all help to b40 who is not even pay the tax. think about it, and choose wisely next ge.
How to choose if 2 x 5 = 10 ekor babi?
Just need to BBQ them both.
Why not increase road tax for all new cars. Increase the tax for all new cars more than 2,000 cc as they are normally more expensive.
B40 will not be able to afford new cars. Reduce the road tax for cars more than 5 years old.
B40 cannot afford new car? Honda City, Myvi, Ativa, Vios are common cars bought by B40 before kena tarik.
Can the mysejahtera app be used to claim back the subsidy for B40, say up to rm200 per month. Those who qualify can register their purchase.
macam la duit t20 tu jatuh dari langit, takde usaha mana nak dapat duitnye. T20 bayar tax pesal tak suruh ikut rate B40. Pikirkanlah
t20 tu bukan rakyat ke? negara lain attract talent bagi gaji tinggi untuk naikkan taraf workforce supply
Sini macam nak halau orang gaji tinggi je.
B40 pon satu hari nanti jadi T20 jugak.
Adil la sikit semua rakyat. Cari pelabur asing naikkan ekonomi, bukan busy nak naik duit mintak masuk poket
lebih 60tahun sokong BN mentekedarahh. lebih 60tahun kene sondol depan belakang, melayu maseh tak sedarr
Bukan x sedar. Kne gula2 trus lupa.
#kitejeyglalai
Boss ask staff to go buy fuel…. Siphone from staff car and fill up boss car…..apa macam?
Cheap ass boss
What a load of crock. Najib steals our money, now we have to pay for it. Why should anyone pay more for fuel?
I guess there will be loopholes in the system. Test as much as they want, loopholes will be there to be exploited. Ewallet doesn’t cost anything to register and I think there will be individuals looking forward to sell their petrol quota because they dont own a vehicle. I think the government will still pay the same amount of subsidies but towards a different group of people.
so does this mean t20 can pay lesser tax as they are unable to enjoy the full subsidy? lol
What is the bracket of B40 and M40? Im a single income earner in the family. With expenses, monthly commitments, like housing and car loans loans, 2 children in university. Other kids tuition and other curricular activities fees. With tight cash flow and without able to save much on monthlt basis.. people like me can fall to M40 or even B40 with low purchasing power. High income single earner doesnt mean much in Malaysia especially when our inflation kicks in with high prices of goods and low currency.
Menteri should pay double the rate la. Go here and there always convoy 10 cars + outriders. Wasted our petrol.
Petrol belongs to the rakyat and not the government. There is no such thing as subsidy as we are still net exporter.
Our gomen should look at how Hong Kong does it with their Consumption Voucher Scheme. It’s also targeted, with mixture of online and offline mechanics for the cash voucher (which are more feasible and cater different group of people, e.g., elderly who can’t use e-wallet).
All malaysian must pay fuel price as subsidised by government but foreigners must pay higher price.