Higher BUDI quotas bring relief to Sabah, Sarawak

The Malaysian government has restored the subsidy for RON95 fuel and increased the BUDI Diesel quota for pickups and jeeps in East Malaysia, bringing relief to Sabah and Sarawak. The new policy, effective Sept 1, lifts the monthly RON95 limit to 300 litres and raises the diesel allowance for eligible vehicles to 400 litres. This decision comes after a temporary reduction in April 1 due to supply concerns following the conflict in West Asia.

East Malaysian affairs minister Mustapha Sakmud highlighted the move's significance, stating it reflects the government's responsiveness to public feedback, especially from rural and interior areas in Sabah and Sarawak where vehicle reliance is high and public transport is limited. The Madani government's policies consider the unique geographical realities of each region, ensuring assistance reaches those who truly need it.

Economist Lai Wei Sieng from Universiti Kebangsaan Malaysia emphasized that the adjustment will greatly benefit motorists in Sabah and Sarawak due to the region's reliance on private vehicles, challenging terrain, and extensive travel distances. This increase provides essential relief for rural communities, which often need to cover longer distances for transportation, agriculture, and daily necessities.

Lai noted that the policy adjustment shows the government's commitment to addressing cost-of-living challenges in East Malaysia and responsiveness to feedback from the region, adapting policies based on current consumption data and supply conditions.