The RON95 petrol subsidy reform won’t impact 90% of the population. Instead, the new targeted subsidy system under SKPS (Sistem Kawalan Pangkalan Subsidi) is set to affect only foreigners and high-income individuals, ensuring that only those who genuinely need support continue receiving it.
So, what does this mean for you, and how can you check if you’re eligible?
What Is RON95, and Why Was It Subsidised?
RON95 petrol is designed for standard to mid-range engines and is the most commonly used fuel by Malaysian motorists. Unlike RON97, which is formulated for high-performance vehicles, RON95 delivers sufficient efficiency for daily driving while being more affordable.
To protect Malaysians from global fuel price fluctuations, the government has long subsidised RON95 to stabilise household expenses – especially for the B40 and M40 groups.
Why Is the RON95 Subsidy Being Restructured?
Currently, Malaysia adopts a blanket subsidy model where everyone – regardless of income or nationality – pays a subsidised price for RON95 petrol. While well-intended, this system is costing the government billions annually and disproportionately benefits higher-income groups and non-citizens.
Starting in 2025, the government plans to switch to a targeted subsidy system. This restructuring is expected to save RM8 billion a year, with funds redirected towards critical sectors like:
- Public healthcare
- Education infrastructure
- Public transport improvements
What’s Changing Under the SKPS Model?
The system may use real-time verification tools such as:
- MyKad-linked payments
- E-wallet integrations
- PADU database for income and vehicle data
This streamlined system aims to:
- Reduce misuse and fraud
- Lower administrative costs
- Ensure fairness across all income groups
Who’s Eligible for the RON95 Subsidy?
Although full eligibility criteria are still being finalised, based on iMoney’s article – here’s what we know:
✅ Income Level:
Subsidies will prioritise B40 and lower M40 households.
✅ Vehicle Ownership:
Luxury vehicle owners may be excluded. Motorcyclists and economical car users are more likely to qualify.
✅ Usage Patterns:
Your petrol usage, road tax, and vehicle registration may be analysed through the PADU system to determine your eligibility.
What Should You Do Now?
Check Your Household Income Tier
Refer to iMoney’s breakdown to identify whether you’re in the B40, M40, or T20 group.
Update Your PADU Profile
Ensure your personal, income, and vehicle data are correct at https://www.padu.gov.my to avoid missing out on subsidies.
Stay Informed via Official Channels
Ignore unverified social media rumours. Instead, refer to Ministry of Finance (MoF) or Kementerian Perdagangan Dalam Negeri (KPDN).
Stretch Your Ringgit Further at BHPetrol
As RON95 transitions to a more targeted system, it’s more important than ever to make every drop count. BHPetrol offers top-quality fuels and unbeatable value – plus, you can now enjoy exclusive rewards!
🎁 Don’t miss out on BHPetrol’s special petrol e-voucher redemption:
👉 https://www.bhpetrol.com.my/promotions/tawaran-istimewa/
Whether you’re filling up for work, errands, or road trips, BHPetrol stations across Malaysia are ready to serve you with friendly service and fuel efficiency you can trust.
