Budi Diesel – nearly 200,000 vehicle owners get additional 100 litres quota; 12.6 mil litres sold so far

by · Paul Tan's Automotive News

The finance ministry says that nearly 200,000 owners of diesel pick-ups and SUVs (the latter officially classified as jip by the road transport department (JPJ) in its vehicle categories) have been approved for the additional 100 litres per month quota under the Budi Madani Diesel (Budi Diesel) programme.

This effectively brings these recipients’ total eligibility limit to 300 litres per month starting from July. The total includes over 174,000 Malaysian owners in Peninsular Malaysia and over 22,000 in Sabah, Sarawak and Labuan. In a statement issued over the weekend, the ministry said the additional quota is provided having taken into account the higher diesel consumption needs of pick-up and SUV owners, including for small and medium business use and movement to rural and inland areas.

“The government understands that for owners of diesel pick-ups and SUVs, these vehicles are not only for daily travel, but are also used to earn a living and manage family needs. That is why this additional 100 litres is being provided. We hope that this additional facility can help them manage their monthly diesel needs better,” said finance minister Datuk Seri Amir Hamzah Azizan.

The ministry said that from June 27, when the programme began with early access for Peninsular users, up to July 4, more than 336,000 diesel transactions were recorded. This involved the purchase of 12.6 million litres of subsidised diesel, with over RM23 million in subsidy borne by government.

These sales include the purchase of subsidized diesel at RM2.15 per litre during the initial access and at RM2.10 per litre when Budi Diesel officially rolled out on July 1. As for the Budi Diesel eligibility transfer for vehicles used by immediate family members, the ministry said that more than 2,000 transfer applications had been received by the ministry as of July 4.

Amir Hamzah said that the implementation of Budi Diesel ensures that government subsidies are channeled according to actual needs, while closing the loopholes for leakage and smuggling that have cost the country billions of ringgit every year.

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