PUTRAJAYA – More types of transport and service vehicles may be eligible to receive subsidised diesel following appeals, Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali said.
He said some parties have submitted direct applications to the ministry to consider additional types of goods transport vehicles under the Subsidised Diesel Control System (SKDS).
These applications include requests to increase the SKDS quota for school buses and express buses, he said in a statement.
“The ministry is examining these applications and appeals from several parties.
“Another recommendation presented is to increase the existing basic quota under SKDS 1.0 for public transport vehicles such as school buses and express buses.
“The ministry is looking into all of this, and it will be brought up immediately for consideration by the diesel subsidy approval committee,” Armizan said.
The committee includes the Domestic Trade Ministry, the finance and transport ministries, the Road Transport Department, the Land Public Transport Agency and the Customs Department.
A sub-committee to decide on the appeals will also submit its recommendations to the cabinet for approval, he added.
Starting June 10, the price of diesel in the Peninsular was raised from RM2.15 to RM3.35 per litre, which is the market price without subsidies based on the automatic price mechanism formula’s average diesel price for May 2024.
Subsidised diesel is still available, however, to vehicles in the transport and logistics sector through a fleet card mechanism under the SKDS.
The subsidised prices are RM1.88 per litre for land public transport, RM2.15 per litre for commercial vehicles, and RM1.65 per litre for fishermen. Fishermen obtain their subsidy through the Fisheries Department.
SKDS is a dedicated platform for selected public vehicles and goods transport to continue to receive diesel subsidies through the fleet card.
Among those not eligible for the diesel subsidy are tow truck vehicles, concrete producers and tourism vehicles.
The Finance Ministry is providing RM200 in cash assistance to private diesel vehicle owners, as well as to individual small farmers and smallholders in the agri-commodity sector under the Budi Madani scheme.
The withdrawal of diesel subsidies is not applicable to Sabah and Sarawak. – June 12, 2024