Kuala Lampur, Oct. 19 -- In 2023, Malaysia's fuel subsidies reached an unsustainable RM38 billion, with RON95 petrol alone costing the treasury RM20 billion. While such subsidies are popular, they are also unsustainable and often benefit those who least need them.

A case in point, according to the Ministry of Finance (MOF), 15 per cent of consumers, primarily wealthy individuals, foreign nationals, and businesses, received 40 per cent of the RON95 subsidy, worth RM8 billion.

In response, the government has introduced a targeted fuel subsidy mechanism under the Budi95 programme, which officially launched on 30 September 2025. Under the new system, Malaysians with valid driving licenses became eligible to purchase up to 300 litres of RON9...