E-hailing drivers who travel less than 2,000km a month will no longer qualify for additional subsidised petrol under the BUDI95 scheme, according to a report by New Straits Times (NST). The policy applies to Malaysian citizens with valid driving licences and aims to better target subsidies towards active full-time drivers.
Finance Minister II Datuk Seri Amir Hamzah Azizan said eligibility for higher fuel allocations is now determined using real mileage data recorded in e-hailing operators’ systems from the previous month. This data-driven approach allows the government to differentiate between full-time drivers and those who are inactive or only drive part time.
Under the revised structure, drivers who clock less than 2,000km a month will remain eligible only for the basic quota of 300 litres of subsidised petrol. Those who record between 2,000km and 5,000km a month can access an additional 300 litres, bringing their total monthly quota to 600 litres. Drivers who exceed 5,000km a month qualify for an extra 500 litres on top of the base allocation, for a total of 800 litres.
BUDI95 Monthly Fuel Quota Breakdown For E-Hailing Drivers
- Below 2,000km/month:
300 litres (basic quota only) - 2,000km to 5,000km/month:
600 litres total (300 litres basic + 300 litres additional) - Above 5,000km/month:
800 litres total (300 litres basic + 500 litres additional)
At present, all eligible users receive a baseline quota of 300 litres per month, which the finance ministry says meets the needs of 99% of privately owned vehicle users. Amir Hamzah explained that the revised structure directs subsidies to drivers who genuinely depend on e-hailing as their primary source of income, instead of spreading them across inactive or misused accounts.
“This real-data approach prevents leakage to inactive drivers, part-time drivers, or misused accounts, ensuring subsidies reach drivers who genuinely rely on e-hailing as their main source of income,” he said. He added that the government will continue monitoring usage patterns and refine the mechanism where necessary to keep the scheme effective and sustainable.
According to NST, more than 106,000 drivers, or about 65% of the 164,000 registered e-hailing drivers nationwide, qualify for the higher BUDI95 quota ceiling of between 600 and 800 litres. Authorities calculate monthly mileage by combining trip data from all registered e-hailing operators, while the Land Public Transport Agency (APAD) and the Commercial Vehicle Licensing Board in Sabah and Sarawak verify the figures.
The scheme only considers Malaysian drivers with valid passenger service vehicle (PSV) licences and approved e-hailing permits. E-hailing operators must also submit accurate monthly mileage data to APAD and LPKP at the beginning of each month to reduce the risk of subsidy leakage.
Separately, Amir Hamzah confirmed that the government has no plans to replace the BUDI95 petrol subsidy with electric vehicle (EV) cash rebates. He said such a move would dilute the scheme’s original objective and undermine its effectiveness for drivers who still rely on internal combustion engine vehicles, noting that EV adoption is addressed through other initiatives such as charging infrastructure development and national automotive policies.
(Source: NST)
