Who benefits most from BUDI95? Government data points to B40 and M40, says Amir Hamzah

Finance Minister II Datuk Seri Amir Hamzah Azizan asserts that the B40 and M40 income groups receive the greatest advantages from the implementation of the BUDI Madani RON95 (BUDI95) program, as opposed to the T20 group, based on current consumption data. This revelation is attributed to the availability of comprehensive records of fuel purchases made by individuals utilizing the subsidy, which has been made possible through the use of MyKad at petrol stations throughout the country.

The Finance Minister emphasized that the distribution of fuel subsidies is most beneficial to the M40 and B40 groups, contradicting the prevailing notion that the T20 group consumes more fuel due to owning larger vehicles and higher travel distances associated with living farther from their workplaces. Amir Hamzah pointed out a hypothetical scenario where a B40 group member living in Rawang or Seremban, commuting from these locations to Kuala Lumpur, would likely consume a significant amount of fuel compared to an individual in the T20 group.

The government is currently refining these figures based on the available data and anticipates releasing additional details within the next two months. As of now, 16 million Malaysians have started to benefit from the BUDI95 program, which was introduced on September 30 and sets the price of RON95 petrol at RM1.99 per litre, with each individual entitled to a monthly quota of up to 300 litres.

The program has been rolled out in stages, initially benefiting the Malaysian Armed Forces and the Royal Malaysia Police, followed by recipients of the Sumbangan Tunai Rahmah (STR) cash aid, and eventually, extended to all Malaysians.