Almost 200,000 vehicles approved for diesel subsidy, ministry reports surge in applications

PETALING JAYA: A total of 198,046 public transport and goods vehicles of 59,940 companies have been approved for the Diesel Subsidy Control System (SKDS) as of June 12.

The Domestic Trade and Cost of Living Ministry said the Budi Madani (SKDS 2.0), initially covering nine types of goods vehicles on March 7, was expanded to include another 14 types of vehicles on May 13.

"With SKDS 1.0 covering 10 vehicles, a total of 33 types of public transport vehicles are now included in the list," said Minister Datuk Armizan Mohd Ali today.

Armizan noted that initially, there were a total of 156,242 vehicles under application from 40,262 companies as of June 9.

He highlighted the significant daily increase in applications after the announcement of the new subsidy rationalisation pricing on June 10.

The minister assured that immediate approvals would be granted under the MySubsidi Diesel system if all details were in order.

"The ministry is forecasting continuous higher applications until June 30, in line with the cash payment to SKDS recipients who have yet to receive their fleet card.

"Those who are eligible can immediately apply through to receive the targeted subsidy offered by the government," added Armizan.

In a related development, Transport Minister Anthony Loke said today the Tourism, Arts and Culture Ministry (Motac) would handle possible diesel subsidies for tour bus operators.

Loke said Motac will lead discussions on helping industry players transition to the removal of diesel subsidies.

"Our current diesel subsidies are aimed solely at logistics, involved in transporting consumer goods that might negatively affect the cost of living for consumers.

"As the possible tourism diesel subsidies are related to the industry costs itself and not consumer goods, it falls solely onto Motac to make any changes," Loke said.

For similar reasons, Loke also said there are no plans to extend diesel subsidies for vehicles and logistics within the construction industry.
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