BUDI95 Temporary Adjustment Eases Cost Pressures, Strengthens National Resilience

KUALA LUMPUR, March 27 (Bernama) -- The government’s decision to temporarily adjust the Budi MADANI RON95 (BUDI95) quota, while maintaining the subsidised RON95 price at RM1.99 per litre, has been seen as a policy recalibration reflecting global economic realities and the rising costs of living following the West Asia conflict.

Members of the public interviewed said the revised monthly fuel quota, from 300 litres to 200 litres, alongside the retained subsidised price, still offers some relief in managing daily expenses.

Many acknowledged the move as a necessary interim measure amid economic uncertainty, viewing it as a strategic step by the MADANI Government to strengthen national resilience and safeguard long-term economic credibility.

In KEDAH, p-hailing rider Muhammad Irfan Zhafir Ahmad, 36, welcomed the decision to retain the subsidised RON95 price, expressing confidence that the government had considered public welfare before finalising the policy.

“Moreover, it is only temporary. If the current conflict improves, the government may restore the original BUDI95 quota,” he said.

Civil servant Isma Ismail, 44, who travels daily by motorcycle from his house in Taman Megong, Alor Setar, to work in Padang Terap, said the maintained subsidised price would definitely help ease the financial burdens of the people.

“The government’s decision also underscores its commitment to shielding the public from rising living costs amid global uncertainty,” he said.

In TERENGGANU, a journalist, Azlan Adli, 46, from Kampung Losong, Kuala Nerus, described the adjustment as unavoidable given the situation in West Asia.

“I travel to Seremban once a month, where my wife and children live. My work also requires frequent field assignments. My monthly fuel use exceeds 300 litres, so I may consider taking a bus instead to save petrol,” he said.

In PERAK, Kampar Member of Parliament, Chong Zhemin, stressed that the temporary adjustment does not amount to subsidy removal but rather an effort to make the mechanism more targeted.

He said that amid volatile global oil prices and Malaysia’s shift from a net exporter to increasing reliance on imports, the government must ensure limited resources are directed to those who genuinely need them, while curbing leakages and misuse.

“Based on the government’s explanation, most people will not be affected, while e-hailing drivers and certain sectors will continue to receive higher quotas. This shows the policy is not about reducing public welfare but addressing long-standing weaknesses, including smuggling and excessive use by non-target groups,” he said in a statement.

In KELANTAN, food stall operator Ahmad Farhan Ilias, 42, said the government’s strategic approach aims to curb leakages, particularly fuel smuggling in border areas.

“Although this is a temporary measure, I believe it is appropriate given the current global economic situation following the conflict in West Asia,” he said.

In MELAKA, private sector employee Zairin Ahad, 35, described the temporary adjustment to the BUDI95 scheme and the retention of subsidised petrol prices as timely and justified.

“With this implementation, I believe it can help safeguard the country’s fuel sustainability, especially as we now have alternatives such as working from home,” he added.

In his special address yesterday, Prime Minister Datuk Seri Anwar Ibrahim said the targeted subsidy adjustment was made after reviewing average BUDI95 usage, which stands at around 100 litres per month, with nearly 90 per cent of the population consuming less than 200 litres monthly, meaning most users would not be affected.

“This measure is temporary, pending recovery in global oil supply and economic conditions, although there are no clear signs of improvement yet,” he said.

Anwar also appealed to the public for understanding, stressing that the measures were carefully considered in light of current pressures facing the country.

-- BERNAMA