THE Penang office of the Ministry of Domestic Trade and Cost of Living (KPDN) has begun closely monitoring petrol stations statewide to ensure the smooth and proper implementation of the BUDI MADANI RON95 subsidy programme (BUDI95), which entered full operation yesterday.
Penang KPDN Director S. Jegan said random inspections are being carried out to verify compliance with official guidelines and to curb any potential misuse or manipulation of fuel subsidies.
“BUDI95 is designed to ensure that subsidies for RON95 petrol reach eligible Malaysians. Monitoring at petrol stations is therefore critical to prevent leakages,” he said during a visit to the Petronas station at Sungai Dua (southbound) today.
He explained that all transactions under the Subsidised Petrol Control System (SKPS) and BUDI95 are digitally recorded, enabling more transparent enforcement efforts.
“We must ensure that MyKad is used only by its rightful owner, and that foreign vehicles are limited to RON97. For companies, subsidised petrol must be purchased using approved fleet cards,” he said.
So far, 15 petrol stations have been inspected, with Jegan confirming that all transactions have proceeded without disruption.
“We received only one technical complaint, which was due to user error during refuelling, not a system issue. The matter was resolved promptly in line with standard procedures,” he said.
He advised first-time users who are unfamiliar with the BUDI95 process to seek assistance from station staff.
“We understand the first attempt may be confusing, but the system is actually very straightforward and quick to use,” he added.
Jegan emphasised that enforcement operations will continue regularly and warned that firm action will be taken under the Control of Supplies Act 1961 against any individuals or entities found to be engaging in fraud, manipulation or smuggling of subsidised RON95 petrol. - October 1, 2025
