The use of foreign credit and debit cards to purchase RON95 petrol across the country will be restricted in stages starting this Wednesday.
Ministry of Domestic Trade and Cost of Living enforcement director-general Azman Adam stated that the move is designed to ensure that fuel subsidies are limited to eligible Malaysians and to prevent misuse, especially by foreign-registered vehicles. This serves as a new mechanism to regulate the sale and purchase of RON95 petrol at all service stations nationwide.
Enhancing monitoring at the pumps
Azman Adam noted that previously, numerous cases involved vehicles with foreign registration plates refuelling at self-service pumps using foreign cards. These transactions made it difficult for both station operators and the authorities to detect and prevent ineligible purchases of subsidised fuel.
Under the new guidelines, individuals using foreign-issued cards will be required to make their payments at the station counter instead of the pump. This shift allows for more effective monitoring and enforcement, as station staff can verify the eligibility of the vehicle before the transaction is completed.
Gradual implementation by oil companies
The measure is also intended to assist petrol stations with a high volume of pumps in detecting potential leakages. By centralising payments for foreign cardholders at the counter, the ministry aims to ensure that those not entitled to subsidised fuel cannot access it through automated systems.
While some oil companies are already prepared to implement this system immediately, others will be adopting the changes in stages. The ministry remains committed to refining these mechanisms to safeguard national resources and ensure that subsidies reach the intended target groups.
This latest enforcement strategy follows ongoing concerns regarding the smuggling and unauthorised consumption of subsidised petrol, which places a significant financial burden on the government.
