The new fuel subsidy plan is ready. The new RON 95 subsidy will be disbursed based on Electricity Bills as reported by Sin Chew Daily. According to Deputy Domestic Trade and Consumer affairs minister Chong Chieng Jen said that only those that falls under B40 category will be receiving Ron 95 subsidy , where their electricity bills are around RM100 to RM200 , will be entitled for Ron 95 petrol subsidy.
A total of RM30 monthly subsidy will be given to those eligible , or RM 0.30 for each liter of Ron 95 with a maximum usage of 100 litres per month. A motorcyclist will be given a RM12 monthly subsidy. According to Chong, the cash will be deposited directly into recipient bank account which are already in Bantuan Sara Hidup (BSH) database list.
The new Ron 95 subsidy plan will be submitted for Cabinet approval on October 2019 while there are no details on when the plan will be implemented. Based APM , the current price for Ron 95 would cost around RM 2.50 per litre which is around 50 cents higher than pump price without any subsidy from the government. The M40 or household with earnings more than RM 3,900 per month is expected to pay more on fuel once the new Ron 95 subsidy is implemented.
Previously, Finance Minister Lim Guan Eng has proposed that fuel subsidy to be based on vehicle engine capacity during the Budget 2019 implementation. The plan however was postponed and delayed due to study on best disbursement method while lacking of data on B40 group. Currently, the government is spending around 130 million weekly for Ron 95 subsidy. The government is expected to save RM 2 billion annually with the following targeted subsidy mechanism. The Ron 95 price would then float based on international fuel price that would be reflected every week as the current Ron 97 fuel.
Follow the latest Ron 95 price soon on petrolpricemalaysia.info today.