Targeted Diesel Subsidy: Increase In Ron95 Smuggling Cases, Smugglers Change Strategy - Armizan

TUMPAT, June 6 (Bernama) -- Cases of smuggling RON95 petrol are on the increase after the government announced the targeted subsidy for diesel, said Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali.

He said as a result of this, smugglers of fuel have changed their strategy in their illegal activity.

"There is information that they are changing their strategy, and is the result of monitoring carried out by enforcement officers stationed at the eight main entry points in Kelantan, Perak, Kedah and Perlis.

"At the same time, my ministry has found that the modus operandi of smugglers is that they make repeated purchases of fuel at petrol stations around the bordering states," he said.

Armizan said this in a special press conference after patrolling the Malaysia-Thailand border at Sungai Golok, Pengkalan Kubor here today.

“Previously, they used four-wheel drives to smuggle petrol, but now they modify the petrol tanks of sedans to fill the excess petrol," he said.

Armizan said to overcome this situation, the ministry has issued a Supply Controller's Instruction to petrol station owners to monitor and report vehicles that are detected making repeat purchases.

According to him, the directive will take effort tomorrow as soon as the engagement session for owners of petrol stations throughout Kelantan is held.

"Additionally, my ministry will also strengthen cooperation with the Road Transport Department to carry out monitoring and inspections to detect modified vehicles," he said.

Armizan said this covers the modification of vehicles for the purpose of cross-border smuggling and embezzlement involving the sale of subsidised diesel.

He said targeted subsidy is risk management taken by the government to reduce the issue of malpractice.

"The targeted subsidy involving diesel in Peninsula Malaysia is expected to be implemented next year, and the matter will be announced by the Prime Minister (Datuk Seri Anwar Ibrahim) soon, God willing," he said.

"I wish to state that the government is not removing the subsidy, but instead targeting the subsidy to those who are eligible," he said."

On May 21, the Cabinet agreed to implement targeted subsidy for diesel involving consumers in Peninsula Malaysia.

Anwar was reported to have said that the targeting of subsidised diesel, however, does not involve users in Sabah and Sarawak since the fuel is used for vehicles of almost every family in these two states.

Meanwhile, he said ‘Op Tiris 3.0' will be continued until the end of this year. 

"Whether or not ‘Op Tiris’ will continue next year (2025), this will be discussed and we will see the full report of the operation before finalising any decision," he said.

The enforcement of the operation, which was conducted from Jan 1 to May 31, saw a total of 19,337 inspections carried out nationwide.

Armizan also said that this operation included petrol stations, wholesalers, manufacturers, quarries, control posts and other premises.

He added that there was a total of 986 cases, with a total confiscation value of RM12.46 million in the same period.

-- BERNAMA