The Malaysian government is considering reducing the monthly subsidised RON95 fuel quota under the BUDI95 programme from 200 litres to 150 litres.
According to Deputy Finance Minister Liew Chin Tong, the move is part of ongoing efforts to improve subsidy efficiency, better manage fuel supply, and reduce leakages in the system.
Majority of M’sians use below current quota
Speaking during a fireside chat at the Affin Market Outlook 2026: Propelling Malaysia Forward event, Liew said current fuel consumption data shows that most Malaysians do not even use up the existing subsidised allocation, according to NST.
The data consistently show that 80 per cent of Malaysians use less than 200 litres. The next step is 150 litres as 60 per cent of the population uses less than 150 litres,” he said.
Quota was already reduced earlier this year
The current subsidised cap was previously reduced from 300 litres to 200 litres in March as part of the government’s fuel subsidy rationalisation efforts.
The proposed reduction to 150 litres would mark another tightening under the BUDI95 programme as Putrajaya continues reviewing ways to ensure subsidies benefit those who need them most.
No official announcement has been made yet on when or whether the new 150 litre quota limit will be implemented.
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