The Ministry of Finance (Ministry of Finance Malaysia) has dismissed claims that there is a general application mechanism to increase the subsidy quota under the Budi Madani RON95 (BUDI95) scheme, saying the allegation is completely untrue and misleading.
In a statement on Tuesday, the ministry clarified that although an application function was initially included during the early phase of the BUDI95 rollout, it was never intended to allow blanket requests for higher personal subsidy limits.
Instead, the facility was designed only for specific operational cases with verified needs, such as e-hailing drivers and boat operators, subject to strict eligibility criteria set by the authorities.
MOF added that the application button has since been deactivated after it was misinterpreted as a channel for users to freely request an increase in their subsidy entitlement.
The ministry reaffirmed that the monthly eligibility cap of 200 litres under BUDI95 remains unchanged, stressing that the measure is aimed at ensuring subsidies are targeted towards the majority of Malaysians while maintaining stable supply levels.
It also noted that the temporary policy adjustment comes amid ongoing pressure in global energy markets, which has increased subsidy costs and required more prudent fiscal management.
According to MOF data, the 200-litre limit is sufficient for around 90 per cent of BUDI95 users. At the subsidised price of RM1.99 per litre, this translates to a maximum monthly benefit of RM398 per user, with the government absorbing approximately RM500 in subsidies per recipient.
The ministry reiterated that the government remains committed to protecting the welfare of the people, strengthening enforcement to prevent leakages, and closely monitoring global energy trends to make timely policy adjustments when necessary.
