Is 300 Litres Enough for RON95 Subsidy?

Home Minister Checks MyKad RON95 Subsidy Use

 

Estimated reading time: 8 minutes

Key Takeaways

  • Malaysia's Budi Madani RON 95 (Budi 95) system rolls out on September 30, 2025, ensuring targeted RON 95 petrol at RM1.99 per litre.
  • The core of the system is MyKad verification, which can be done at the pump, counter, or conveniently via e-KYC through apps like Setel.
  • Eligible Malaysians with a valid driving licence receive a monthly quota of 300 litres, with verified e-hailing drivers enjoying an unlimited subsidy.
  • Government agencies like JPN and JPJ are extending services to ensure a smooth transition, offering free MyKad chip replacements and extended licence renewal hours.
  • Home Minister inspects MyKad verification for RM1.99 subsidised RON95 at a petrol station. Learn about the system's rollout. to ensure readiness and transparency.

Table of Contents

Are You Ready for Smarter Fuel Subsidies?

In a world grappling with rising living costs, direct and efficient aid for citizens is more crucial than ever. For Malaysians, the question isn't just about the price at the pump, but how fairly and effectively government subsidies reach those who need them most. Think you know how to pump petrol? Get ready for a MyKad twist!

The upcoming Budi Madani RON 95 (Budi 95) system, set to revolutionise how Malaysians access subsidised RON 95 petrol at RM1.99 per litre starting September 30, 2025, promises just that. This isn't just another policy; it's a strategic move towards equitable resource distribution. In a significant demonstration of commitment and transparency, Home Minister inspects MyKad verification for RM1.99 subsidised RON95 at a petrol station. Learn about the system's rollout. This hands-on approach, captured in a video on his official Facebook page, underscores the government's dedication to a smooth, citizen-centric transition, ensuring everyone understands the process.

This comprehensive guide will walk you through the specifics of the Budi 95 system, from the simple MyKad verification steps to your monthly quota, and how you can prepare to enjoy the benefits. We'll explore the streamlined process, the advantages for various segments of society, and the proactive measures being taken to ensure a hassle-free experience for every eligible Malaysian. Get ready to understand how this system will impact your daily commute and budget, making your fuel experience fairer and more predictable.


The New Era of Subsidised Fuel: Budi 95 Explained

The Budi 95 system marks a pivotal shift in Malaysia's fuel subsidy strategy, moving towards a more targeted and sustainable model. From September 30, 2025, the familiar sight of pumping RON 95 petrol will come with an added, yet simple, step: MyKad verification. This measure is designed to ensure that the RM1.99 per litre price benefits only eligible Malaysians, safeguarding national resources.

While the general rollout begins in late September, specific groups like police and army personnel, along with Sumbangan Tunai Rahmah (STR) recipients, will gain earlier access to this subsidised price. This phased introduction highlights a thoughtful approach to implementation, acknowledging the needs of various community pillars.

The recent visit by Home Minister Datuk Seri Saifuddin Nasution Ismail to a Cyberjaya petrol station, prior to Prime Minister Datuk Seri Anwar Ibrahim's announcement, provided a critical real-world demonstration. This direct observation of the MyKad verification process reaffirms the government's proactive stance in ensuring the system's efficacy and user-friendliness. The minister's personal inspection of how Malaysians will gain access to subsidised RON 95 petrol provides a tangible assurance of the system's readiness.

The underlying principle is clear: subsidised RON 95 is for Malaysians, regardless of income level. This broad eligibility simplifies access, focusing on national identity as the primary criterion for receiving the benefit. The system aims to be inclusive, while also preventing misuse.


Seamless Access: How MyKad Verification Works for You

The beauty of the new Budi 95 system lies in its integration with existing petrol station routines, with a minor but crucial addition. The process, as demonstrated by the Home Minister and previously by "Pak Cik Shell," maintains familiarity while introducing enhanced verification for subsidised fuel access.

At the Pump: Quick & Convenient

For those who prefer direct interaction with the pump, the steps are straightforward:

  1. Tap Your Payment Card: Begin by tapping your debit or credit card on the terminal, just as you always have.
  2. Insert Your MyKad: This is the new step. Insert your MyKad into the designated slot on the pump terminal for verification.
  3. Choose Your Fuel Amount: Once verified, you proceed to select the amount of RON 95 you wish to pump.
  4. Fill Up: Complete your transaction and enjoy your subsidised fuel.

This method is designed for speed and efficiency, minimising disruption to your routine.

At the Counter: Human Touch Option

If you prefer using cash or simply enjoy a brief interaction, head inside the petrol station. Here, attendants will verify your MyKad using a portable terminal. We anticipate some petrol stations will even feature roving attendants equipped with these terminals, offering an extra layer of convenience for customers, especially during peak hours.

Digital Convenience: e-KYC with Apps like Setel

For tech-savvy drivers seeking ultimate convenience, oil company apps such as Setel are leading the way. Through an e-KYC (electronic Know Your Customer) process, you can complete your MyKad verification beforehand by submitting photos of your MyKad and your face. This is similar to how you set up e-wallets or digital bank accounts. Once verified via the app, you eliminate the need to physically whip out and insert your MyKad at the pump each time. This streamlined digital approach underscores a future-forward vision for fuel access.

Regardless of your preferred method, upon completion, you'll receive a receipt detailing your transaction and, importantly, your remaining quota of subsidised RON 95 for the month. This transparency empowers you to manage your fuel consumption effectively.


Navigating Your Monthly Quota: 300 Litres and Beyond

A cornerstone of the Budi 95 system is the allocation of a monthly quota to ensure equitable distribution of the subsidy. Every eligible Malaysian holding a valid driving licence is entitled to 300 litres of subsidised RON 95 petrol each month at the special price of RM1.99 per litre.

This quota is a calculated measure to support the majority of daily commuters and families without encouraging excessive consumption. For an average driver, 300 litres is typically more than sufficient for a month's travel, covering a significant portion of their fuel needs at a reduced cost.

Exemption for E-Hailing Drivers

Recognising the vital role of e-hailing services in urban mobility and the significantly higher mileage covered by these professionals, verified e-hailing drivers are granted an exemption from the 300-litre limit. This means they will receive an unlimited quota of subsidised RON 95, a crucial support mechanism for their livelihood and an acknowledgment of their contribution to the economy. This targeted support demonstrates a nuanced understanding of different user categories within the Budi 95 framework.

Beyond the Quota: Understanding Unsubsidised Pricing

What happens if you exhaust your 300-litre quota (or, for non-e-hailing drivers, any remaining quota) before the month ends? The system is designed to seamlessly switch you to the unsubsidised price for RON 95 petrol, which currently stands at RM2.60 per litre. This mechanism ensures that while essential travel is subsidised, additional or discretionary fuel consumption is priced at market rates, maintaining the integrity of the subsidy program.

The receipt you receive after each fill-up will clearly show your remaining quota, providing real-time transparency and helping you plan your fuel purchases effectively. This proactive information sharing is key to empowering consumers under the new system.


Get Ready: Essential Preparations for Budi 95

With the Budi 95 system launching on September 30, 2025, government agencies are taking proactive steps to ensure all Malaysians are prepared. These measures highlight a concerted effort to minimise disruptions and facilitate a smooth transition for everyone.

MyKad Check-Up: Free Chip Replacements

Your MyKad is your key to accessing subsidised fuel, making its functionality paramount. The National Registration Department (JPN) has announced a vital initiative: holders of MyKad with damaged chips can have them replaced for free. This service is available starting from yesterday (September 22, 2025) until October 7, 2025. Don't delay! A quick check of your MyKad's condition now can save you hassle later. This is a critical step for ensuring you can easily participate in the system.

Driving Licence Renewals: Extended JPJ Operating Hours

Eligibility for the 300-litre monthly quota is tied to possessing a valid driving licence. To support this requirement, the Road Transport Department (JPJ) is extending its operating hours for driving licence renewals, from September 27 to October 26, 2025. These extended hours also include weekends:

  • Fridays and Saturdays: (Kelantan, Terengganu, Kedah) from 8:30 AM to 4:30 PM.
  • Saturdays and Sundays: (Other states) from 8:30 AM to 4:30 PM.

This initiative ensures that no eligible Malaysian misses out on the subsidy due to an expired licence. Take advantage of these expanded timings to ensure your documentation is up-to-date.

Proactive Planning for Every Driver

Beyond these government initiatives, consider these personal steps:

  • Check Your MyKad: Verify its physical condition and chip functionality.
  • Validate Your Driving Licence: Ensure it's current or renew it promptly.
  • Explore Digital Options: Consider downloading and registering with apps like Setel for e-KYC verification to bypass physical MyKad insertion at the pump.
  • Monitor Your Quota: Pay attention to the remaining quota displayed on your receipts.

These preparations, coupled with the government's proactive measures, will ensure you can fully benefit from the Budi 95 system without any hitches. The transparent rollout, underscored by the fact that Home Minister inspects MyKad verification for RM1.99 subsidised RON95 at a petrol station. Learn about the system's rollout., demonstrates a commitment to a smooth experience for all.


RON95 Subsidy at a Glance

Here's a quick summary to keep you informed:

  • RON95 Price: RM1.99/L from September 30, 2025.
  • Eligibility: Anyone with MyKad and a valid driving licence qualifies.
  • Monthly Quota: 300 litres per month at the subsidised price.
  • E-Hailing Benefit: Verified e-hailing drivers receive an unlimited quota.
  • Access Methods: Physical MyKad insertion at pumps/counters, or digital verification via payment apps like Setel.
  • Unsubsidised Price: RM2.60/L once monthly quota is exhausted.

Frequently Asked Questions (FAQs)

Q1: Who is eligible for the Budi 95 RON 95 subsidy?

A1: Any Malaysian citizen with a valid MyKad and a valid driving licence is eligible for the RM1.99 per litre price. Police, army personnel, and Sumbangan Tunai Rahmah (STR) recipients will receive early access.

Q2: What if my MyKad chip is damaged?

A2: The National Registration Department (JPN) is offering free MyKad chip replacements from September 22 to October 7, 2025. It's crucial to get your MyKad in working order to access the subsidy.

Q3: Do I need to physically insert my MyKad every time I pump petrol?

A3: Not necessarily. While physical insertion at the pump or verification at the counter are options, some oil company apps (e.g., Setel) allow for one-time e-KYC verification of your MyKad and face. Once done, you won't need to physically insert your MyKad for subsequent refills.

Q4: What happens if I exceed my 300-litre monthly quota?

A4: If you exhaust your 300-litre quota for the month, any subsequent RON 95 petrol purchases will be charged at the unsubsidised price of RM2.60 per litre.

Q5: Are e-hailing drivers also limited by the 300-litre quota?

A5: No, verified e-hailing drivers are exempted from the 300-litre limit and will receive an unlimited quota of subsidised RON 95 to support their operational needs.

Q6: How can I check my remaining subsidised quota?

A6: After each transaction, your receipt will clearly show how much remaining quota of subsidised RON 95 you are still entitled to for the month.


Powering Your Journey Forward

The introduction of the Budi Madani RON 95 system marks a significant stride towards a more equitable and efficient fuel subsidy distribution in Malaysia. By leveraging the MyKad verification process, the government ensures that critical support reaches eligible citizens directly, fostering a fairer economic environment. The proactive steps taken by agencies like JPN and JPJ, alongside transparent demonstrations such as the one where Home Minister inspects MyKad verification for RM1.99 subsidised RON95 at a petrol station. Learn about the system's rollout., illustrate a commitment to a smooth transition for all.

As we approach September 30, 2025, taking a few moments to ensure your MyKad is functional and your driving licence is current will go a long way in guaranteeing a hassle-free experience. Embrace the digital options like e-KYC via petrol apps for added convenience, and stay informed about your monthly quota to manage your fuel expenses smartly. This system is designed for you, to ease your journey and empower your daily life.

What are your thoughts on the new Budi 95 system? Are you excited about the streamlined process or do you have lingering questions? Share your feedback, tips, and experiences in the comments below! Let's navigate this new era of fuel subsidies together.

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