Subsidised petrol under BUDI95
We Malaysians have been keeping our eyes glued to our screens for updates on the latest guidelines for the expected subsidised petrol. On 22nd September 2025, the Malaysian government finally confirmed that all Malaysians with a valid MyKad and driving license can enjoy subsidised RON95 petrol under the new scheme, Budi Madani RON95, following expectations that the subsidy would be adjusted on income-based categories.
Subsidy adjustment & monthly cap for refuels
To qualify for the subsidy under Budi Madani RON95 (BUDI95), drivers must possess a valid MyKad with an active chip, as well as a current Malaysian driving license. The subsidy specifically applies to RON95 petrol, which has been reduced to RM1.99 per litre from RM2.05 per litre, effective 30th September.
There will be a monthly BUDI95 cap of 300 litres for each Malaysian, with those whose occupations rely on vehicles, such as e-hailing drivers, able to apply for more credit.
Image credit: Bernama
The subsidy is available only to Malaysian citizens, to ensure that the benefits are directed towards the local populace who bear the brunt of domestic transportation costs. Non-citizens and large companies will continue to pay the non-subsidised price of about RM2.60 per litre. Prime Minister Datuk Seri Anwar Ibrahim announced this in a meeting with the Prime Minister’s Department, citing BUDI95 as an “appreciative initiative”, as reported by Bernama.
Similar to the recent rollout of the RM100 SARA cash aid in August, Malaysians can enjoy the subsidised petrol without having to register for it. All Malaysians, regardless of income levels, will simply have to show their MyKad. Petrol stations will have MyKad reader machines to accommodate the new verification method for the subsidy.
Malaysians may also use alternative payment options such as Touch ‘n Go and oil company applications like Petronas’ Setel instead of their MyKad.
Subsidised petrol for all Malaysians, effective 30th Sept
In such uncertain times, it’s a relief that we Malaysians can still enjoy subsidised petrol. All you have to ensure is that you have a valid MyKad and a driving license to take advantage of BUDI95, which officially rolls out on 30th September.
Cover image adapted from: Bernama