Private firms’ diesel 4WDs, pickups to qualify for subsidised fuel

PETALING JAYA: Private businesses with diesel-powered four-wheel-drive (4WD) vehicles and pickup trucks registered under the private commercial vehicle category will soon be eligible for subsidised diesel.

Domestic trade and cost of living minister Armizan Mohd Ali said the move was among several improvements approved by the Cabinet following a review of the implementation of BUDI Diesel, BUDI95, the subsidised diesel control system (SKDS), and subsidised petrol control system (SKPS).

Previously, diesel subsidies were limited to vehicles registered to individuals under BUDI Diesel and commercial goods transport vehicles covered by SKDS.

In a statement today, Armizan said the government will also review the fixed diesel quota for several categories of commercial goods transport vehicles under SKDS.

He said this would take into account gross vehicle weight, engine capacity, lorry category, fuel consumption and vehicle operating patterns, in addition to average fuel usage by vehicle type.

He said fuel usage and the government’s subsidy expenditure for every registered vehicle and company would continue to be recorded under SKDS.

Armizan said Prime Minister Anwar Ibrahim had directed improvements to the targeted fuel subsidy mechanism to address public feedback while taking into account the cost of living, subsidy leakages and the country’s fiscal position.

He said the domestic trade and cost of living ministry, and the finance and transport ministries had been instructed to implement the Cabinet’s decision, including making the necessary changes and integrating them into the existing implementation system.

Separately, he said all 4,146 petrol stations nationwide were ready for the full rollout of BUDI Diesel on July 1.

Subsidised diesel at RM2.15 per litre is now available in Peninsular Malaysia for privately owned vehicles, while subsidised diesel at RM2.10 per litre will be available nationwide from July 1.