by NURUL NAJMIN ABU BAKAR / pic BLOOMBERG

FINANCE Minister II Datuk Seri Amir Hamzah Azizan said the targeted assistance of RM200 to the bottom 40% (B40) and middle 40% income group (M40) diesel users are sufficient for the majority of them.

The RM200 assistance is estimated to be sufficient to cover the additional costs for a daily commute of 75km, referring to typical diesel vehicles like pickup trucks.

“This level of usage is adequate for more than 80% of private diesel vehicle users, based on the Household Income and Expenditure Survey by the Department of Statistics Malaysia (DOSM),’’ he told the Parliament today.

Amir Hamzah said this in response to Datuk Abdul Khalib Abdullah (Perikatan Nasional-Rompin) who was asking to clarify the diesel subsidy adjustment, which includes providing the Budi Madani assistance to M40 and B40 diesel vehicle owners. 

He noted that the targeted subsidy approach through market price setting and targeted assistance achieves the objective of combating leakage while simultaneously protecting the public from rising costs.

The Ministry of Domestic Trade and Cost of Living (KPDN) will intensify various enforcement operations aimed at preventing market destabilisation and price gouging.

“The government will continuously monitor the current situation, including the implementation of diesel subsidy targeting to ensure that those who are truly eligible continue to receive attention from the government in facing the challenges of the cost of living,” he added.

Until July 1, about 115,000 diesel vehicle owners are approved for individual Budi cash assistance. 

Meanwhile, the number eligible to receive individual Budi is around 300,000 people.