MALAYSIA's controversial fuel subsidy mechanism received further clarification over the weekend.
Except for unforeseen circumstances, the government will introduce a new measure of "fixed petrol subsidy for one car per person" beginning March, Malaysian Chinese newspaper Sinchew reported.
A large-scale car owner registration exercise will also be launched in conjunction with the new petrol subsidy mechanism that will be implemented from May 1.
The scheme received further clarification:
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Under the new scheme, a car owner will be eligible for petrol subsidy for one car only even if the owner has two or more cars, the Chinese daily said.
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If the monthly quota is used up before the month, the car owner would be required to purchase fuel based on unsubsidised rates.
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If the driver is not the owner of any vehicle, he or she will not be entitled to the subsidies.
Although details of the new subsidy mechanism have yet to be finalised, there are discussions to allow all registered car owners to enjoy fixed monthly quotas of subsidised fuel regardless of engine capacity.
As for how much subsidised fuel each car owner be entitled to, it could range from anything between 100 to 300 litres, a source in the finance ministry told Sinchew.