(Kuala Lumpur, 12th) The government is considering expanding the targeted diesel subsidy mechanism and the usage of diesel subsidy cards to ensure more affected groups, including rice farmers, can obtain fuel at subsidized prices.
Mohamad Kamil, Political Secretary to the Finance Minister, pointed out that this measure aims to assist rice farmers and paddy field machinery operators in coping with rising agricultural input costs caused by soaring global fuel prices.
He said the authorities are conducting a comprehensive study to ensure that the formulated aid measures are truly effective. Among the suggestions from rice farmers is to issue fleet cards (kad armada) to paddy field machinery operators.
He made these remarks to the media on Saturday night (April 11) after attending the “Segayong MADANI Ramadan Solidarity Open House” event in Gurun.
He noted that the government has been listening to the appeals of groups affected by the diesel price increase. In addition to considering expanding the usage scope of diesel subsidy cards (fleet cards) to include previously ineligible groups such as farmers, the authorities are also studying the implementation of a targeted subsidy mechanism similar to the “MADANI Compassionate RON95 Petrol Subsidy Program” (BUDI95).
"All these are within the scope of our study, including some affected groups of farmers. The government will conduct a comprehensive review to ensure no one is left out after policy implementation."
On another matter, he pointed out that the process of implementing the BUDI95 program has encountered few issues, and its successful experience will serve as an important reference for the future expansion of diesel subsidies to ensure the new measures are more efficient, simple, and smooth.
However, he admitted that the government must also consider current fiscal pressures, as subsidy expenditures have soared from about RM700 million to RM6 billion.
"This shows the government’s commitment to mitigating the impact of rising international oil prices on the people, but at the same time, we must also assess the country’s current financial capacity."
He added that the government has previously addressed the impact of rising global oil prices through rationalizing subsidies, cutting expenditures, and strengthening enforcement to curb fuel leakage.
"If costs continue to rise, we should not maintain the status quo but must make adjustments and changes according to the current economic situation."
Regarding the impact on Langkawi ferry services, he said the matter falls under the jurisdiction of the Ministry of Transport, and the authorities will assess any improvement proposals, including their impact on the local tourism industry.
Regarding the RM10 increase in Langkawi ferry ticket prices for passengers without MyKad, he said the current impact is minimal as the government prioritizes local citizens.
However, he said the authorities will continue to monitor the relevant issues and conduct further study and adjustment should there be significant effects on the transportation and tourism industries.
"Our primary concern is for the people of our country. If the industry is significantly affected, I believe the relevant departments will thoroughly evaluate and review improvement plans from time to time."