Diesel subsidy fleet cards will be cancelled if misused - KPDN

The Ministry of Domestic Trade and Cost of Living (KPDN) will cancel fleet cards for subsidised diesel if it is discovered that they have been misused, according to the New Straits Times.

Shamsul Nizam Khalil deputy director-general of enforcement (operations) for the KPDN, stated that the ministry has discovered a new way that fuel subsidies are being diverted for other uses. The ministry has acted in these cases after discovering this misuse in Penang and Selangor.

Shamsul said that the ministry has run advocacy campaigns and given Supply Control Instructions to gas station owners in states that border Thailand in an effort to stop fuel subsidy leaks. Additionally, he states that all gas stations are reminded to notify the ministry in the event that a vehicle is discovered to be repeatedly refueling with RON95 gasoline or diesel.

A truck was recently detained by Penang's Ministry of Domestic Trade and Cost of Living (KPDN) on suspicion of using fleet cards fraudulently to divert diesel that was subsidized at a Simpang Ampat gas station under Operation Tiris 3.0.
For the record, Finance Minister II and YB Senator Datuk Seri Amir Hamzah Azizan announced in June of this year that targeted subsidies for diesel will be implemented , with the goal of setting the price of diesel fuel to correspond with market prices.

Effective from 0:00 to 12:00 am on June 10, 2024, the retail price of diesel fuel has been set by the government at RM3.35 per litre at all gas stations in Peninsular Malaysia. For Sabah, Sarawak, and Labuan, the retail cost of diesel fuel is still RM2.15 per litre.

Under the targeted diesel subsidy implementation, the Government has set diesel fuel prices for eligible sectors as follows:

The subsidized diesel control system (SKDS) 2.0, which offers fleet cards to qualified logistics vehicles at RM2.15 per litre to lessen the effect of the diesel price on consumer goods prices.

For land-based public transportation, such as school buses, express buses, ambulances, and fire engines, the subsidised diesel control system (SKDS) 1.0 is still priced at RM1.88 per litre.

Fishermen's diesel subsidies are kept at RM1.65 per litre.