The rationalisation of RON95 petrol subsidies will begin sometime in June 2025, and your MyKad (IC) will soon play a key part in determining if you can get subsidised fuel at the pumps, according to The Star. This information comes from the Second Minister of Finance, Datuk Seri Amir Hamzah Azizan, speaking to the publication at an event today.
The minister didn’t reveal any details about the specific mechanisms that’ll be used to implement the targeted fuel subsidies, but stressed that work is being done to fine-tune the mechanics.
“The mechanism is being fine-tuned, and we don’t want to make any announcement while work is still being done. More importantly, we want to make sure that the system is robust,” he said. The Second Minister of Finance adds that a two-tier pricing system, comprising both a subsidised and a non-subsidised price for RON95 petrol, will be used.
The government will introduce a new income category for Malaysians, dubbed ‘T15’, comprising the top 15% earners, who won’t be eligible for fuel subsidies. When the rationalisation of RON95 fuel subsidies starts in June this year, 85% of Malaysians will still be able to enjoy subsidised RON95 petrol, as announced by Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim during the tabling of the 2025 national budget (Belanjawan 2025) last year.
This is expected to save the Malaysian government around RM8 billion in subsidies.
Currently, the non-subsidised price for RON95 petrol is hovering at RM2.98, based on fuel prices published by Double Petrol, a non-subsidised petrol station in Perlis.
ALSO READ: RON95 subsidy rationalisation to begin in mid-2025, 85% of Malaysians unaffected
