The Ministry of Domestic Trade and Cost of Living (KPDN) is currently considering restricting the use of foreign credit cards at outdoor petrol station payment terminals to close RON95 subsidy loopholes. According to Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali, this ban is among the additional measures considered to ensure only Malaysians can enjoy the subsidies.
As it stands, the sale of RON95 to foreign-registered vehicles is prohibited. Other than that, there is the BUDI95 programme. It allows eligible citizens to purchase RON95 petrol at a subsidised price of RM1.99 per litre. Of course, checks are already in place to prevent exploits, with citizens required to show their IC when pumping at petrol stations.
Even so, there have been instances of individuals attempting to fill up RON95 petrol illegally, either through identity theft or other fraudulent means. Back in December, a man was arrested for allegedly using another person’s MyKad.
New regulations to take effect in April
Aside from possibly barring foreign credit card use, the government is exploring other ways to prevent abuse of the RON95 subsidies. Last month, it was revealed that the government will implement new regulations to prevent foreign-registered vehicles from buying subsidised RON95.
According to Armizan, these regulations are expected to come into effect from 1 April 2026. Under these new laws, legal action can be taken against owners or drivers of foreign-registered vehicles. At the moment, the existing laws focus on the licence holders or petrol station operators, rather than the buyers.
The minister also noted that the authorities will intensify Ops Samar inspections at known hotspots to curb subsidy abuse. He went on to assert that the ministry takes threats against petrol station operators over the sale of subsidised RON95 petrol seriously. He reminded that such actions are criminal offences, and that those involved can lodge a police report.
(Source: The Star, New Straits Times)
