Finding ways to cut down on daily expenses has become more important than ever, especially when it comes to necessities such as fuel. Petrol is one of those unavoidable costs that every motorist in Malaysia feels each time they refill their tank. Whether it is driving to work, sending children to school, or running errands, fuel consumption takes up a large share of monthly household spending. That is why the announcement of the Budi Madani RON95 (BUDI95) subsidy programme has been greeted with much interest, as it directly helps motorists save money at the pump.
Beginning 30 September 2025, Malaysians will be able to purchase up to 300 litres of RON95 petrol at a special subsidised rate of RM1.99 per litre each month. This is significantly cheaper compared to the unsubsidised rate, which is estimated at RM2.60 per litre. When added up over multiple refills in a month, the savings could be substantial. For many households, this means extra cash in hand that could go towards groceries, bills, or even leisure activities.
The scheme was announced by Prime Minister Datuk Seri Anwar Ibrahim, who also serves as Finance Minister, during an assembly with the Prime Minister’s Department staff. He highlighted that the initiative is part of a broader effort to ease the financial burden of Malaysians while ensuring that the subsidies reach those who genuinely need them. The government expects more than 16 million citizens to benefit from this initiative, based on records from the Road Transport Department (RTD) and National Registration Department (NRD).
How the BUDI95 Subsidy Works
The BUDI95 programme provides every eligible Malaysian with access to 300 litres of RON95 petrol per month at RM1.99 per litre. Once the monthly quota is exhausted, motorists will have to pay the standard pump price. However, this amount is generous enough for the average daily commuter, making it especially helpful for workers, families, and students who rely on personal transport.
Interestingly, the government has made exceptions for e-hailing drivers, who will not face the 300-litre monthly ceiling. Since e-hailing is their primary source of income and their livelihood depends on fuel usage, these drivers will be able to continue enjoying the subsidised rate at all times, regardless of the number of litres consumed. This ensures that the cost savings can trickle down to both the drivers and passengers through more affordable fares.
Easy Verification Process
To ensure the subsidy reaches Malaysians directly, a simple verification process has been put in place. Motorists can verify their MyKad at petrol station counters or fuel pumps before refuelling. Additionally, those who prefer a more digital-friendly option can make use of the Touch ‘n Go app or the Petronas Setel app, which both support the verification system.
This flexibility means that motorists do not need to worry about complicated sign-up processes or extra paperwork. As long as their MyKad is verified, they can immediately start enjoying the RM1.99 rate whenever they refuel.
Who is Eligible and Who is Not?
The government has been clear about keeping the subsidies targeted towards citizens. Only Malaysians with valid MyKad will benefit from the BUDI95 rate. This means that non-citizens and large corporations are not eligible, and they will have to pay the full unsubsidised price at RM2.60 per litre.
This measure helps ensure that public funds are channelled fairly and benefit Malaysians first. It also prevents misuse by businesses with heavy consumption capacity, who may not require subsidised fuel to maintain operations.
Rollout Dates and Special Groups
The rollout of the BUDI95 initiative has been staggered to ensure smooth implementation. Police and military personnel will be the first group to receive access, beginning 27 September 2025. Following this, Sumbangan Tunai Rahmah (STR) recipients will enjoy the subsidised rate from 28 September 2025. The general public will then gain full access from 30 September 2025 onward.
This structured rollout ensures that key groups such as security forces and low-income households are prioritised while the system is properly tested before being expanded nationwide.
Why Malaysians Should Take Advantage of This Deal
Fuel costs are unavoidable for most households. With the BUDI95 subsidy, the chance to enjoy petrol at RM1.99 per litre represents a tangible and immediate relief. Let us break down why this deal is worth embracing:
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Substantial Savings Each Month
For an average motorist who uses 300 litres per month, the difference between RM1.99 and RM2.60 per litre works out to RM183 in savings. Over a year, this could amount to more than RM2,000 – a considerable sum that can ease financial stress or be allocated for other priorities. -
Inclusive but Targeted
Unlike blanket subsidies, this initiative is structured in a way that ensures Malaysians truly benefit while non-citizens and corporations are excluded. This means more fairness and sustainability in how public funds are managed. -
Flexibility and Convenience
The verification process is straightforward, with options for both physical MyKad checks and app-based verification through Touch ‘n Go or Setel. This makes it convenient for all generations of motorists, whether they prefer traditional methods or digital solutions. -
Support for E-Hailing Drivers
By removing the 300-litre cap for e-hailing drivers, the government has acknowledged their important role in providing transportation services. This helps stabilise fares for passengers and ensures drivers can continue earning without fuel costs eating into their income. -
Wider Economic Benefits
When people spend less on petrol, they have more to spend on other areas of the economy. This can indirectly support local businesses, eateries, and retail shops, boosting economic activity while easing household budgets.
Final Thoughts
The BUDI95 subsidy programme is more than just a petrol promotion. It is a carefully designed initiative to provide immediate relief to millions of Malaysians while ensuring fairness and efficiency in distribution. For motorists, this translates into tangible savings month after month, without complicated processes or restrictions.
If you are a Malaysian with a MyKad, there is every reason to take full advantage of this deal. It is not just about cheaper fuel – it is about making daily life more affordable, giving households more breathing space, and helping drivers keep their vehicles running without straining their wallets.
So mark the date – 30 September 2025 onward – and be ready to verify your MyKad the next time you fuel up. Every litre counts, and with the BUDI95 programme, every saving counts too.
Promotional/Event Details:
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Date: 30 September 2025 Onward
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Time: All day, during petrol station operating hours
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Venue: All participating petrol stations nationwide (verification via MyKad, Touch ‘n Go, or Petronas Setel app)
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