PUTRAJAYA — The Federal Government will continue to maintain targeted fuel subsidies despite the sharp rise in global oil prices, in a move aimed at protecting consumers, businesses and key economic sectors from mounting cost pressures.
The Ministry of Finance said the prolonged global energy crisis has pushed Brent crude prices up by more than 40 per cent, breaching the US$100 per barrel mark, while refined petrol and diesel prices have surged to US$150 and US$250 per barrel respectively.
Despite the increase, the Government said it has continued to absorb part of the subsidy burden for three consecutive weeks since the West Asia crisis escalated, instead of fully floating retail pump prices, to contain the spillover effect on the prices of goods and services.
Under the Automatic Pricing Mechanism (APM), the unsubsidised fuel prices from April 2 to April 8 are:
- RON97: RM4.95 per litre
- RON95: RM3.87 per litre
- Diesel (Peninsular Malaysia): RM6.02 per litre
However, the Government will continue to maintain targeted subsidised rates for eligible groups and selected sectors:
- RON95 (BUDI95): RM1.99 per litre
- Diesel (Sabah, Sarawak and Labuan): RM2.15 per litre
- Subsidised Petrol Control System (SKPS): RM2.05 per litre
- Subsidised Petrol Control System (SKDS): RM2.15 per litre
Effective April 1, the BUDI95 monthly quota has been temporarily revised to 200 litres, pending stabilisation in global fuel supply conditions.
To curb leakages and smuggling in Sabah, Sarawak and Labuan, diesel purchase limits ranging from 50 litres to 150 litres per transaction have also been introduced, depending on vehicle category.
As an interim relief measure following the diesel price increase, eligible recipients under BUDI Individual and BUDI Agri-Commodity will continue to receive an additional RM100 cash assistance in April, bringing the total to RM300.
The ministry said further medium- and long-term measures are being studied to ensure the subsidy mechanism remains sustainable, transparent and continues to benefit the rakyat while safeguarding the broader economy from volatility in global energy markets.
