Malaysia Sets Sights on Targeted Fuel Subsidies with MyKad-Based System

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Malaysia Sets Sights on Targeted Fuel Subsidies with MyKad-Based System
Fuel SubsidyMykadTargeted Assistance
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The Malaysian government is implementing a targeted fuel subsidy program for RON 95 petrol utilizing the MyKad identification card to ensure assistance reaches those in genuine need. The program leverages a centralized data platform, PADU, and an automated system at petrol pumps to determine eligibility and manage quotas.

The Malaysia n government is nearing completion of a targeted fuel subsidy program for RON 95 petrol, aiming to ensure assistance reaches those in genuine need. Finance Minister II Datuk Seri Amir Hamzah Azizan disclosed during a parliamentary session that the government is in the final stages of refining eligibility criteria and implementation methods for the initiative.

The Ministry is collaborating with stakeholders to explore various possibilities, including utilizing MyKad, e-wallets, and oil company applications, to ensure a smooth and efficient rollout.In response to inquiries from Datuk Seri Wee Ka Siong (BN-Ayer Hitam) regarding the criteria used to identify individuals or households within the T15 category, Amir Hamzah explained that PADU, a centralized data platform, aggregates information from government agencies like the Inland Revenue Board (LHDN), Road Transport Department (JPJ), and National Registration Department (JPN). This comprehensive approach aims to ensure precise targeting based on verified and up-to-date information, guaranteeing aid reaches only eligible recipients.Amir Hamzah further elaborated on the proposed implementation of the MyKad-based system for fuel subsidy disbursement. This method involves inserting the MyKad into a reader at the petrol pump terminal, which connects to the government's centralized database to determine eligibility and fuel quota. Eligible individuals can purchase RON 95 petrol at the subsidized price of RM1.99 per litre, while those ineligible will have to pay the full price. Addressing concerns about MyKad misuse and potential issues with pump attendants, Amir Hamzah emphasized the ministry's discussions with fuel companies to ensure a streamlined and automated process. He explained that once a person scans their MyKad at the machine, the system automatically verifies their eligibility for subsidized fuel. Eligible individuals can then purchase RON 95 at the subsidized price, while ineligible individuals can still purchase it at the full unsubsidized price. There will be no need for intervention from the pump attendant, with the entire process automated. Furthermore, foreigners, lacking MyKad, will be unable to purchase subsidized fuel, mitigating subsidy leakage.The government plans to set up a public portal for individuals to check their eligibility for the targeted RON 95 subsidy and a contact center for assistance, feedback, and complaint resolution. The aspect of quota management is also being carefully considered to prevent misuse and ensure that ordinary citizens have sufficient subsidized fuel while mitigating risks of overuse or fraud

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Fuel Subsidy Mykad Targeted Assistance Malaysia PADU RON 95 Petrol Price Government Program

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