How will the MyKad system verify subsidy eligibility?

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MyKad System to Verify Diesel Subsidy Eligibility Through Identity Verification

Beginning July 1, Malaysia will implement a new diesel subsidy system that leverages the MyKad, the national identification card, to verify eligibility. This system, mirroring the established Budi95 programme for RON95 petrol, will allow approved individuals to purchase diesel at a subsidised rate of RM2.10 per litre by presenting their MyKad at petrol stations. The process aims to streamline the distribution of subsidies and ensure they reach the intended recipients.
Identity Verification at Petrol Stations

Under the new MyKad-based system, eligible diesel vehicle owners will use their MyKad to confirm their entitlement at the point of purchase. This identity verification step is crucial for accessing the subsidised diesel price. While the MyKad is used for verification, payments for the fuel can still be made through various methods, including cash, debit cards, credit cards, or selected e-wallets.
Integration with Existing Subsidy Mechanisms

The MyKad verification process is designed to be similar to the existing Budi95 system, which has been in place for RON95 petrol subsidies. This existing framework provides a tested model for how direct fuel subsidies are administered. The subsidy is allocated based on a monthly fuel quota, replacing previous direct cash assistance for individual recipients under the Budi Diesel programme.
Quota Allocation and Usage

Upon successful MyKad verification, eligible individuals will be granted a monthly fuel quota. This quota can be used for purchasing either subsidised diesel or RON95 petrol, with both types of fuel consumption counting towards the same monthly allocation. For most motorists, a basic allocation of 200 litres per month is deemed sufficient, as the government estimates that nearly 90 per cent of users consume less than this amount. Owners of eligible diesel-powered pickup trucks and SUVs have the option to apply for an additional 100 litres, bringing their total monthly entitlement to 300 litres.

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How will the MyKad system verify subsidy eligibility?

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