BUDI Diesel Eligibility Can Now Be Transferred To Non-Family Users

The Malaysian government has recently broadened the BUDI Diesel eligibility transfer process, no longer confining it to the vehicle's immediate family members. Now, the registered owners of private diesel vehicles can transfer their allocation to any Malaysian citizen possessing a valid MyKad, provided they qualify for BUDI95 and are the actual users of the vehicle. This transfer mechanism is currently active, allowing users to apply immediately.

However, there are certain conditions to bear in mind. Each recipient can only receive a transfer from one registered owner, and the transfer for each eligible vehicle can only be executed once, with no provision for revocation, except under specified exceptional circumstances. Once approved, the recipient can utilize their MyKad to purchase subsidised diesel based on the vehicle assigned to them.

In the case of owners with multiple diesel vehicles, they will retain the quota for the vehicles that haven't been transferred. If they have allocated the eligibility for all three vehicles, they would only qualify for the BUDI95 subsidy. The base monthly allocation for users is 300 litres; however, diesel-powered pick-up trucks and jeeps can receive up to 400 litres, necessitating an additional 100 litre allocation application prior to transferring eligibility to another user.

Applications can be submitted online via the official BUDI Madani portal, physically at Inland Revenue Board (LHDN) offices, or by seeking assistance at nearby petrol stations. These applications must be submitted by the 27th of the current month to take effect from the 1st of the following month. Transfers approved before 16 September 2026 would remain final, but pending applications as of 15 September 2026 would require a new application under the new policy.