The government has postponed the rollout of its targeted subsidy programme for RON95 petrol, citing the need for further refinements to the delivery mechanism. Communications Minister Datuk Fahmi Fadzil said the delay was necessary to ensure that the policy, once implemented, would not negatively affect the majority of Malaysians.
Speaking at a weekly press conference in Parliament earlier today, Fahmi explained that the government is currently fine-tuning all aspects of the subsidy framework. He noted that Prime Minister Datuk Seri Anwar Ibrahim had recently raised the matter during a government retreat involving Members of Parliament, reiterating that policies must be introduced carefully to avoid unintended public hardship.
Fahmi said the adjustment in timeline stemmed from this deliberate approach. “The Prime Minister expressed his view that he does not want the implementation of any policy to negatively affect the majority of the rakyat,” he explained. “It is this process of fine-tuning that has resulted in a slight shift in the timeline.”
The Comms Minister added that the government had already revised other initiatives, such as diesel subsidy rationalisation and the expansion of the sales and services tax (SST), to reduce the burden on the public. These previous experiences, Fahmi said, prompted a reassessment of the RON95 subsidy plan to ensure its execution would be as fair and efficient as possible. However, he did not specify when the programme is now expected to roll out.
The targeted subsidy for RON95 petrol was initially expected to be introduced by mid-2025. Second Finance Minister Datuk Seri Amir Hamzah Azizan had earlier indicated that preparations were in the final stages, with the goal of reducing subsidy leakages and encouraging greater contribution from high-income earners and businesses.
