Malaysia Expands Diesel Subsidy to Company Jeeps, Pickups

Malaysia is expanding its targeted diesel subsidy program to include company-owned jeeps and pickup trucks, a move aimed at alleviating costs for micro and small businesses. The Diesel Subsidy Control System (SKDS) will now cover these commercial vehicles, adding to existing provisions for public and consumer goods transport sectors.

According to the Minister of Domestic Trade and Cost of Living, Datuk Armizan Mohd. Ali, applications for this new category opened on July 3, with subsidies becoming effective from July 15, pending fleet card approval. This initiative specifically targets micro and small enterprises registered as sole proprietorships or partnerships. The expansion brings the total number of vehicle types and usage classes under the SKDS to 35.

To qualify, vehicles must be registered as business vehicles under the 'Company Private Use' (AE) code in the Road Transport Department's (JPJ) MySikap system. Furthermore, the businesses themselves must be registered with the Companies Commission of Malaysia (SSM) or the relevant local authorities in Sabah and Sarawak.

The subsidy distribution will be managed through a fleet card system, providing a fixed quota that varies based on vehicle type, usage class, and technical specifications. Business owners meeting the eligibility criteria are urged to apply through the MySubsidi portal. This targeted approach complements other existing diesel subsidy mechanisms, such as BUDI Diesel for individuals and agricultural aid, as well as specific subsidies for fishermen managed by the Ministry of Agriculture and Food Security.