Application for Budi Madani subsidy assistance for private diesel vehicle owners, farmers, opens today - Here's how to apply

KUALA LUMPUR:  The application process for the Madani Subsidy Assistance Program (Budi Madani) will open on today, targeting private diesel vehicle owners, farmers, and small commodity growers.

According to Sinar Harian's report,  Malaysia’s second Finance Minister, Datuk Seri Amir Hamzah Azizan said, eligible recipients will receive Budi Madani benefits of RM200 per month, in line with the implementation of targeted diesel subsidies.

Amir Hamzah stated that qualified private diesel vehicle owners can apply under the Budi Individu category, while farmers and small commodity growers can apply under Budi Agri-Komoditi.

Eligibility criteria for Budi Individu include being a Malaysian citizen, owning a private diesel vehicle registered with the Road Transport Department (JPJ), excluding luxury vehicles under 10 years old, having an active road tax, and an individual or household annual income below RM100,000.

"Every application will be cross-checked with data from the Inland Revenue Board of Malaysia (LHDNM) to exclude owners of luxury vehicles under 10 years old and high-income individuals."

"For Budi Agri-Komoditi eligibility, applicants must be registered as farmers or small commodity growers with relevant agencies under the Ministry of Agriculture and Food Security (KPKM) or the Ministry of Plantation Industries and Commodities (KPK)."

"Applicants in this category must also be active with annual agricultural sales between RM50,000 and RM300,000," he said yesterday."

Last Tuesday, Prime Minister Datuk Seri Anwar Ibrahim announced that the Cabinet agreed to implement targeted subsidies for diesel fuel, applicable only to users in Peninsular Malaysia.

He mentioned that this decision does not affect users in Sabah and Sarawak, as the majority of the population there relies on diesel for daily activities.

Further explaining, Amir Hamzah said applications can be made online at https://budimadani.gov.my/, which will be open throughout the year.

"For applications submitted and approved before June 3, recipients will receive their first Budi Madani payment by mid-June, with subsequent payments disbursed monthly.

"Applications approved after June 3 will receive their first Budi Madani payment within two weeks, followed by monthly disbursements.

"Funds will be credited to the recipients' bank accounts every month, while those without bank accounts can claim their payments in cash at any Bank Simpanan Nasional (BSN) branch across Peninsular Malaysia," he explained.

Additionally, Amir Hamzah noted that this program complements the government's existing efforts to target diesel subsidies through the MySubsidi Diesel system managed by the Ministry of Domestic Trade and Cost of Living (KPDN).

He mentioned that nearly 90,000 'Fleet Cards' have been issued to companies in the public transport and land goods sectors.

"These cards allow eligible logistics companies to purchase subsidized diesel at petrol stations, ensuring minimal cost impact on the logistics value chain and supply, thereby reducing the risk of price increases for goods.

"With this implementation, the government has extended cash assistance to individuals, farmers, and small commodity growers ahead of the targeted diesel subsidy implementation," he added.

When the universal diesel subsidy was lifted, many people wondered how the government would implement the targeted subsidy program. This assistance program appears to be the government's response to those questions, outlining how diesel subsidies will be provided to businesses operating specific commercial diesel vehicles.

The program includes subsidies for 10 types of public transport vehicles and 23 types of goods transport vehicles under the Subsidised Diesel Control System, such as buses and taxis. Diesel was sold at a around the subsidized price of RM2.15 per litre. 

Also Read:  Malaysia to cut blanket diesel fuel subsidy