Govt Working To Ease Ron95 Subsidy Claims At Petrol Kiosks

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 Finance minister II Amir Hamzah Azizan says steps are being taken to get petrol station operators to upgrade their systems for the subsidy rationalisation scheme.
The government aimed to ensure that claiming RON95 subsidy would be as smooth as filling up the tank now.KUALA LUMPUR: The government is currently working on getting petrol station operators to upgrade their systems for the RON95 subsidy rationalisation scheme to ensure there will be no queues at the pump
Finance minister II Amir Hamzah Azizan said the objective was to ensure that the process of recognising each customer’s eligibility for the subsidy through his MyKad would be as smooth as filling up their tanks now.
“We want to ensure that customers do not experience any significant changes when the fuel subsidy rationalisation takes effect,” he said at the Invest Asean-Malaysia Conference 2025 today.
“What we don’t want is for people to have to line up to claim their subsidies when they go to the petrol station as opposed to now when they can complete their transaction in a few minutes.”
Amir expressed confidence that the government would be able to develop a system to determine one’s eligibility for RON95 subsidy that could be adopted at all petrol stations before the end of the year.
Last week, he said the government would implement the targeted RON95 subsidy in stages this year but did not give any specifics.
Amir also said Putrajaya’s decision to implement targeted subsidies through the MyKad system was an effective mechanism to prevent leakages, likening it to the implementation of the Sumbangan Asas Rahmah (Sara) programme with over 5.4 million recipients as of April 1.
“(Under the Sara programme) the amount is loaded through the MyKad system, and the beneficiaries will receive either RM50 or RM100 to shop for essential goods. More than 4,000 shops already have the Sara system up and running,” he said.
“It’s not beyond reason that we can get the same outcome with the RON95 targeted subsidy rollout,” he added.
In June, the Petroleum Dealers Association of Malaysia called on the government to delay rationalising RON95 subsidies until critical issues had been addressed.
Its president Khairul Annuar Abdul Aziz said dealer margins, fixed under the automatic pricing mechanism, had not been revised since 2019 and no longer reflected current operating costs.
He also voiced concern with the merchant discount rate imposed on card payments, which increases as fuel prices rise but leaves dealers’ per-litre commissions untouched. - FMT

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