ENZHMS
Link Copiedcheck_circle
Auto News

Govt Has Valid Reasons For Not Implementing Diesel Subsidy In Sabah, Sarawak

Anis

Share via

Untitled-design---2024-09-26T101612.719-full-(2).jpg Prime Minister Anwar Ibrahim stated in June of this year that Sabah and Sarawak were exempt from the recent rationalization of diesel subsidies due to their heavy reliance on the fuel, which made the reduction of subsidies unfeasible in comparison to Peninsular Malaysia, where diesel usage is less widespread.
The government allegedly received a writ of summons regarding the diesel subsidy exemption in Sarawak recently. According to Domestic Trade and Cost of Living (KPDN) Minister Datuk Armizan Mohd Ali, the government  however has no intention of changing its stance on excluding those two countries from the implementation of the targeted diesel subsidy.

Armizan emphasized that there are specific, legitimate reasons why the targeted diesel subsidy has not been implemented in Sabah, Sarawak, and Labuan—not because of unfair treatment or double standards, Bernama has reported.

He clarified that a pilot implementation in Peninsular Malaysia was initially necessary due to the challenge of profiling to guarantee that aid reaches those who are truly in need.

1-(1)-full_normal.jpg

He pointed out that the second reason has to do with Borneo's geography and logistics, where people are forced to use diesel-powered cars due to the region's topography rather than choice.

The third factor, he added, is the persistent and substantial price difference between Peninsular Malaysia and Sabah, Sarawak, and Labuan for goods.
"Recently, I presented a note to the Cabinet regarding monitoring conducted by our price observation officers. Over three months in July, August, and September we collected data on 480 items.

"We then compared the prices and found that 65 to 68 percent of these goods were significantly more expensive in Sabah and Sarawak than in Peninsular Malaysia," he said.

kpdn-fuelsale-foreigncar-33-full-full-(2)-full-full_normal-full_normal-(2).jpg
For the record, on June 10 of this year, Peninsular Malaysia implemented diesel subsidy rationalization, which resulted in a rise in the retail price of diesel fuel to RM3.35 per litre. This is in contrast to the current subsidised price of RM2.15 per litre, which has been in place nationwide since February 2021 and is still applicable in East Malaysia.


Share This Article

Written By

Anis

Previously in banking and e commerce before she realized nothing makes her happier than a revving engine and gleaming tyres........

Share via

JPJ Running Numbers

KUALA LUMPUR

VRN9254

SELANGOR

BST4679

JOHOR

JD6417J

PULAU PINANG

PSF3432

PERAK

APL2657

PAHANG

CFH6326

KEDAH

KGH8755

NEGERI SEMBILAN

NEL7031

KOTA KINABALU

SJT9124

KUCHING

QAB5213P

Last updated 04 Sep, 2026

Fuel Price

Petrol

RON 95

RM 3.97

+1.38

RON 97

RM 4.90

+1.75

RON 100

RM 7.20

+2.20

VPR

RM 8.23

+2.00

Diesel

EURO 5 B10

RM 5.12

+2.08

EURO 5 B7

RM 5.32

+2.08

Last updated 30 Apr, 2026

Related News

Auto News
Targeted Diesel Subsidy Saves Government RM600mil Monthly - Anwar

Targeted Diesel Subsidy Saves Government RM600mil Monthly - Anwar

The targeted diesel subsidy program has saved the government RM600 million per month since June 2024 by curbing misuse.

27-02-2025
Auto News
Penang KPDN Confiscates 27,000 Litres Of Smuggled Diesel

Penang KPDN Confiscates 27,000 Litres Of Smuggled Diesel

Penang KPDN has foiled a diesel smuggling operation, seizing 27,000 gallons of subsidized diesel.

04-02-2025
Auto News
3,500 petrol stations Lost RM181 million after diesel subsidy rationalisation - BUMIPEDA

3,500 petrol stations Lost RM181 million after diesel subsidy rationalisation - BUMIPEDA

Bumipeda claims that 3,500 petrol stations in the Peninsular have lost RM181 million following the diesel subsidy rationalisation by the govt.

19-12-2024
Auto News
Diesel Subsidy Claims By Oil Companies Fall 51.6%

Diesel Subsidy Claims By Oil Companies Fall 51.6%

Oil companies' claims for diesel subsidies have dropped 51.6% in August compared to May.

23-10-2024
Auto News
Govt firm in implementing diesel subsidy rationalisation despite criticisms - PM Anwar

Govt firm in implementing diesel subsidy rationalisation despite criticisms - PM Anwar

Despite criticism, PM Anwar says the government must take practical measures regarding diesel subsidies.

26-09-2024
Auto News
180K Commercial Vehicles Yet to Register for Diesel Subsidy

180K Commercial Vehicles Yet to Register for Diesel Subsidy

About 180,000 vehicles not yet registered for diesel subsidy due to being unsure of eligibility.

Auto News
Budi Madani: Est. 300K Owners Eligible, Over 30K Applications Approved

Budi Madani: Est. 300K Owners Eligible, Over 30K Applications Approved

MoF estimates that up to 300,000 owners are eligible for the Budi Madani aid, while 30,000 applications have been approved.

06-06-2024
Auto News
3,500 petrol stations Lost RM181 million after diesel subsidy rationalisation - BUMIPEDA

3,500 petrol stations Lost RM181 million after diesel subsidy rationalisation - BUMIPEDA

Bumipeda claims that 3,500 petrol stations in the Peninsular have lost RM181 million following the diesel subsidy rationalisation by the govt.

19-12-2024

Latest News

Auto News
Will "Made-in-Malaysia" BYD EVs Become A Reality Soon?

Will "Made-in-Malaysia" BYD EVs Become A Reality Soon?

Discover what Sime Motors' Shenzhen trip signals for local assembly (CKD) in Malaysia.

04-09-2026
Auto News
Kids Spotted Sitting on Moving Alphard Roof in Ipoh: Police Launch Investigation Under Child Act

Kids Spotted Sitting on Moving Alphard Roof in Ipoh: Police Launch Investigation Under Child Act

Ipoh police are tracking a Toyota Alphard driver after a viral video showed two kids sitting on the roof via the sunroof.

03-09-2026
Auto News
"Traffic Was Slow Before The Tanker Struck": Horrific 11-Vehicle LPT1 Crash Claims 4 Lives Near Temerloh

"Traffic Was Slow Before The Tanker Struck": Horrific 11-Vehicle LPT1 Crash Claims 4 Lives Near Temerloh

Four people, including Kuantan’s Secangkir Cafe founders and their 4-year-old son, were killed after an out-of-control cement tanker triggered an 11-vehicle crash on LPT1 near Temerloh. Read the latest police updates.

01-09-2026
Auto News
Perodua's Supplier Just Dropped A Huge RM54Mil Clue About A Secret New Model Launching In 2027

Perodua's Supplier Just Dropped A Huge RM54Mil Clue About A Secret New Model Launching In 2027

Perodua supplier MCE Holdings drops an RM54M clue about a secret 2027 model. Read about the upcoming next-gen Myvi, Bezza facelift, and local ADAS tech.

27-08-2026
Auto News
Proton Almost Built A RM150,000 Mid-Engined Sports Car Using Lotus Tech & Wira Parts

Proton Almost Built A RM150,000 Mid-Engined Sports Car Using Lotus Tech & Wira Parts

Did you know Proton almost built a RM150k mid-engined sports car? Discover how 'Project Sepang' combined Lotus engineering, Wira parts, and Petronas tech.

26-08-2026
Auto News
RM1,000 Trade-In Subsidy For Old Motorcycles: Transport Ministry Considers New Scheme

RM1,000 Trade-In Subsidy For Old Motorcycles: Transport Ministry Considers New Scheme

Got an old motor? MOT is considering a RM1,000 trade-in subsidy to help Malaysian riders upgrade to new CKD bikes. Here is how the proposed scheme works.

26-08-2026
Auto News
Do You REALLY Have To Give Way To Every Siren? What Experts Say About VIP Convoys vs. Emergencies

Do You REALLY Have To Give Way To Every Siren? What Experts Say About VIP Convoys vs. Emergencies

Do you legally have to give way to VIP convoys in Malaysia? Here is what traffic laws and safety experts say about sirens, outriders, and RM10k fines.

26-08-2026
Auto News
"Can I Pass My Diesel Quota To My Family?" — 3 Big Changes Coming To Malaysia’s Diesel Subsidy System

"Can I Pass My Diesel Quota To My Family?" — 3 Big Changes Coming To Malaysia’s Diesel Subsidy System

KPDN & MOF to launch 3 diesel subsidy updates in less than a month, covering family quota transfers, sambung bayar eligibility, and easier applications.

24-08-2026

Show More

trending_flat
Carz Automedia Malaysia Logo
About Us

CarzAutoMedia: Stay connected to the latest car news! Get instant updates on new releases, industry trends, and automotive innovations. Your go-to source for 24/7 coverage of everything automotive.

© 2026 CariCarz.com. All Rights Reserved.