The government has expanded the BUDI Diesel eligibility transfer mechanism beyond the vehicle owner’s immediate family. This means that the registered owners of private diesel vehicles can now transfer their allocation to any user. Additionally, those who own multiple private diesel vehicles are now allowed to transfer the monthly BUDI Diesel eligibility of those vehicles, with a limit of three registered vehicles.
These changes are effective immediately, so users can already submit their applications. Of course, there are a few things to keep in mind here. Registered owners may only transfer their eligibility to any Malaysian citizen holding a valid MyKad. This individual must also qualify for BUDI95 and be the actual user of the vehicle in question. Other than that, each recipient can only receive an eligibility transfer from one registered owner. Also important to note is the fact that transfers for each eligible vehicle can only be done once and cannot be revoked, except under specified special circumstances.
Once approved, the recipient can then use their MyKad to purchase subsidised diesel based on the vehicle assigned to them. In the case of registered owners of more than one diesel vehicle, the owners will retain the quota for the vehicles that have not been transferred. If they have transferred the eligibility for all three vehicles, then they will only qualify for the BUDI95 subsidy.
Another thing to keep in mind is the transferred quota, which depends on the type of vehicle. By default, users get a monthly allocation of 300 litres. Diesel-powered pick-up trucks and jeeps can get up to 400 litres, but the owner must apply for the additional 100 litre allocation. This must be done before transferring the eligibility to another user.
As usual, all applications can be made online through the official BUDI Madani portal. Alternatively, they can be done physically via Inland Revenue Board (LHDN) offices, or by seeking assistance at nearby petrol stations. Applications must be submitted by the 27th of the current month in order for the eligibility to apply on the 1st of the following month.
Furthermore, transfers approved before 16 September 2026 remain final. However, if you have a pending application as of 15 September 2026, you will have to submit a new one based on the new policy.
(Source: Anwar Ibrahim via Facebook, MOF via Facebook, Bernama)
