Why is Sabah proposing changes to the diesel subsidy scheme?

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Sabah is proposing changes because it says the current targeted diesel subsidy scheme has caused difficulties and needs improvement
Sabah is proposing changes to the targeted diesel subsidy scheme because the state government says the current arrangement has created many difficulties for people in Sabah and that it does not agree with the scheme as it stands. Sabah Finance Minister Datuk Seri Masidi Manjun said the issue was the basis for setting up a special task force to review the scheme before submitting improvement proposals to the federal government.
The scheme is limited to a 200-litre monthly quota
The targeted diesel subsidy scheme limits eligible recipients to a 200-litre monthly quota. Masidi Manjun raised this framework in the Sabah Legislative Assembly when responding to questions on whether the state government supported the current policy.
Sabah says it does not agree and points to “many aspects” needing improvement
Masidi Manjun told the assembly that Sabah does not agree with the current subsidy system and believes there are many aspects that need to be improved. He linked this position directly to the creation of the special task force tasked with refining and finalising proposals.
Sabah set up a special task force to review before sending proposals
Masidi said Sabah established the special task force because it was not satisfied with the current scheme. The task force will review the targeted diesel subsidy and then Sabah will formally submit its improvement proposals to the federal government after they are refined and finalised.
Discussions with the Treasury secretary-general were held ahead of formal submissions
Masidi said Sabah had already taken steps by inviting the Treasury secretary-general for discussions last Sunday on ways to address the issue. He added that once the task force finalises the proposals, Sabah will submit them officially to the federal government.

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Why is Sabah proposing changes to the diesel subsidy scheme?

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