MALAYSIANS will be able to purchase RON95 petrol at a subsidised rate of RM1.99 per litre beginning 30 September, following the government’s move to implement a targeted fuel subsidy programme anchored by MyKad-based identity verification at petrol stations.
Announced by Prime Minister Datuk Seri Anwar Ibrahim, the new subsidised rate will apply to all Malaysian citizens aged 16 and above with a valid driving licence, regardless of income level. The subsidy will be capped at 300 litres per individual per month.
“No new registration is needed,” Anwar confirmed. “MyKad verification is sufficient, and Malaysians aged 16 and above with valid driving licences will automatically qualify.”
Under the new system, individuals will be required to present their MyKad at the counter for verification through a dedicated terminal.
The mechanism also supports fuel purchases via payment apps, fuel pumps using debit or credit cards, and traditional counter transactions.
Here’s how to purchase RON95 petrol at the price of RM1.99:
1. Transaction at the petrol station counter:
* Simply present your MyKad for verification
* MyKad verification is done through a MyKad reader terminal
2. Transaction at the fuel pump:
* Purchase as usual using a debit or credit card
* Additional MyKad verification at the fuel pump terminal
3. Transaction using the petrol station’s app:
* Payment made via apps such as Touch ‘n Go eWallet, Setel, or CaltexGo
* MyKad verification is required only once.
Foreign nationals will pay the unsubsidised rate of RM2.60 per litre starting on the same date, consistent with Malaysia’s ongoing fuel subsidy rationalisation agenda, which began with diesel subsidies in June 2024.
The new system will be introduced in stages under the BUDI95 initiative.
From 27 September, it will be made available to 300,000 armed forces and police personnel. On 28 September, it will be extended to B40 beneficiaries under the Sumbangan Tunai Rahmah (STR) programme. By 30 September, the scheme will be fully open to all eligible Malaysians.
Anwar’s announcement marks the next phase in the government’s efforts to transition from blanket subsidies to a targeted model that protects the rakyat while easing fiscal burdens. - September 22, 2025
