Phew! Anthony Loke Confirms T20s Won’t Be Cut From Fuel Subsidies... For Now

Transport Minister Anthony Loke at the Malaysia Commercial Vehicle Expo (MCVE), MIECC.

If you were already starting to scout for electric vehicle catalogs or planning to trade in your SUV, you can take a breather. Transport Minister Anthony Loke has officially confirmed that the government has no immediate plans to cut fuel subsidies for the T20 group.

Despite the ongoing conversations about subsidy rationalisation, the "Budi95" system is staying exactly as it is for all household-income groups, at least for the time being.

The "Simplicity" Factor

Speaking at the Malaysia Commercial Vehicle Expo (MCVE) today, Loke explained that the decision comes down to one word: simplicity.

While there have been calls to target subsidies more strictly toward lower-income groups, the Cabinet has deliberated and decided that a straightforward system is the most effective way to handle the current situation. By using the Budi95 mechanism, all Malaysians can enjoy subsidized fuel within a "controlled environment and controlled quantity" by simply using their MyKad.

Why Not Just Cut the T20s?

According to Loke, the government's priority is finding a mechanism that actually works without creating massive administrative headaches.

• Leakage Control: The current Budi95 system is designed to minimize leakages while being "simple and direct."
• Cabinet Consensus: Loke noted that most Cabinet members agreed the system must remain easy to navigate for the public and the petrol station operators.

"Nothing is 100%"

While the T20s are staying in, Loke did admit that the current system isn't perfect. Addressing the "gaps" in the system, specifically for groups like tow truck owners who have struggled with recent diesel price changes, Loke was candid.

"There is no system that can cover 100% of cases," he said, adding that it is impossible for every single industry to be fully covered under subsidies. However, he maintained that essential goods and most commercial vehicles carrying containers are already well-supported under the current diesel subsidy rates.

Supply is Stable

The best news for all drivers? Loke assured that Malaysia does not have a fuel supply problem. The Budi95 system has worked well over the last two months, and for now, your trip to the pump will remain as "simple" as a MyKad tap, regardless of your income bracket.