MOF clarifies BUDI95 application issue: No additional subsidy, 200-litre limit remains

Confusion over a portal function led to claims that users could request higher fuel subsidies, prompting the ministry to clarify its purpose and disable the feature.

The Ministry of Finance Malaysia (MoF) has clarified that allegations surrounding additional BUDI MADANI RON95 (BUDI95) subsidy applications are not true.

The ministry said the application function on the BUDI95 portal had been misinterpreted as a space for users to independently apply for an increase in their subsidy eligibility.

It explained that although the function was created at the beginning of the implementation of the BUDI95 programme, it was not intended for additional applications for personal needs. Instead, it was meant for specific cases with clear and confirmed operational needs, such as e-hailing drivers and boat owners, subject to the specified criteria.

Following the misunderstanding, the application button has been disabled.

MOF also confirmed that the 200-litre monthly limit under the BUDI95 subsidy remains in place. It said the limit is necessary to ensure that the subsidy is targeted to the majority of users while maintaining supply stability.

This measure is being maintained in light of ongoing global energy market pressures, which are increasing the cost of subsidies and requiring more prudent management.

According to MOF, data shows that the 200-litre limit is sufficient for about 90% of BUDI95 users. At a subsidised price of RM1.99 per litre, users are able to purchase up to RM398 worth of RON95 fuel each month, with the government bearing around RM500 in subsidy per recipient.

The ministry added that the government will continue to protect the public, strengthen enforcement to curb leakages, and closely monitor developments in the global energy market. It is also prepared to make adjustments where necessary.

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