Fleet cards for subsidised diesel which have been issued will be cancelled by the ministry of domestic trade and cost of living (KPDN) if they are found to be misused, reported the New Straits Times.
The ministry has detected a new modus operandi for the diverting of subsidised fuel for other purposes, said KPDN deputy director-general of enforcement (operations) Shamsul Nizam Khalil. Such misuse has been detected in Penang and Selangor, and the ministry has taken action in these cases.
“Based on our current monitoring, there is a new trend or modus operandi for diverting RON95 petrol and diesel. We, at the ministry, are aware of this and have taken action against those misusing fleet cards by purchasing fuel for use in vehicles which are not registered under the card. We will take legal action under the Supply Control Act 1961, and if proven, the fleet card can be cancelled and action taken against the fleet card holder,” he said.
“To prevent fuel subsidy leakage, the ministry has conducted advocacy programmes and issued Supply Control Instructions to petrol station operators in states bordering Thailand,” said Shamsul Nizam, adding that the supply control instruction serves as a reminder for all petrol stations to report to the ministry if and vehicle is found to be refuelling with RON95 petrol or diesel repeatedly.
Rationalisation of the fuel subsidy began with diesel fuel on June 10, when the price of the fuel increased by RM1.20, or 56% to RM3.35 per litre from that date. Since then, price for the fuel had dropped by 10 sen over two weeks, to its present rate of RM3.25 per litre.
Subsidised diesel is provided to eligible logistics vehicles under the Subsidised Diesel Control System (SKDS) 2.0, which entitles operators of these vehicles to the subsidised rate of RM2.15 per litre. The existing SKDS 1.0 scheme for land public transport, including school buses, express buses, ambulances and fire engines remains at RM1.88 per litre, and subsidised diesel for fishermen remains at RM1.65 per litre.
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