Malaysia to improve targeted diesel subsidy implementation

The Malaysian government is reviewing improvements to the targeted diesel subsidy system, with an announcement expected within one to two months. According to Second Finance Minister Datuk Seri Amir Hamzah Azizan, these enhancements aim to simplify the application process and refine eligibility criteria.

Key areas under review include addressing issues related to installment-based vehicle ownership, managing owners with multiple vehicles, and allowing the transfer of diesel quotas to immediate family members under certain conditions. The government intends for these changes to ensure that subsidies effectively reach eligible individuals and alleviate the cost of living.

In Sabah, approximately 120,000 four-wheel drive and pickup truck owners are eligible to apply for a 300-liter diesel subsidy quota, yet only about 49,000 have submitted applications so far. To assist those struggling with online applications, the government is collaborating with the Inland Revenue Board (LHDN), Urban Transformation Centres (UTC), and fuel companies to provide manual application support.