Perikatan Nasional has criticised the government’s proposal to implement more targeted subsidies, particularly the planned rationalisation of RON95 fuel subsidies for the T20 income group, describing it as unfair and potentially burdensome.
PN deputy chairman Datuk Seri Tuan Ibrahim Tuan Man said the government must first clearly define what it means by “rich” before moving ahead with any changes to subsidy policy. He argued that the T20 classification alone should not be used as a blanket label for wealth.
“The proposal will be unfair and will burden the T20 group, many of whom are taxpayers contributing significantly to national revenue,” he said, adding that the group should not automatically be categorised as wealthy based solely on income brackets.
The Kubang Kerian MP also said the government had yet to fulfil earlier commitments to ease the rising cost of living, pointing to ongoing financial pressures faced by the public.
“I see this as a sign of the government’s failure in delivering on its promises,” he said, noting that inflation, income instability and broader economic changes must be carefully assessed before any subsidy cuts are introduced.
Pas vice-president Datuk Idris Ahmad echoed similar concerns, saying the T20 classification does not necessarily reflect real financial strength. He said gross household income often fails to capture the true cost of living, especially in urban areas.
He explained that some households classified as T20 still face significant financial commitments, including supporting elderly parents, raising children, repaying education loans and managing high living expenses. “When subsidies are withdrawn across the board, it could punish groups that are not truly wealthy,” he said.
Idris also questioned the government’s priorities, claiming that subsidy rationalisation appeared to be moving ahead faster than efforts to address leakages, wastage and inefficiencies in public administration.
“If subsidies are removed while wastage continues, the people will see the policy as shifting the burden of management weaknesses onto the rakyat,” he said.
The comments come after Prime Minister Datuk Seri Anwar Ibrahim said the proposed rationalisation of RON95 subsidies for the T20 group is still being refined and is expected to be finalised soon. He said the matter is being reviewed by the National Economic Action Council’s Crisis Management Task Force, which is also considering whether the policy should apply to broader income segments such as T5, T10 or T15.
Meanwhile, Economy Minister Rafizi Ramli said the subsidy rationalisation framework will also take consumption patterns into account, not just household income. He added that implementation is expected to begin at the start of a calendar month to ensure the screening system is fully ready.
