Gov’t won’t increase RON 95 price although cabinet discussed it, but foreigners to pay more – PM Anwar

No RON 95 price increase for Malaysians? Here’s the latest on the RON 95 fuel subsidy rationalisation plan that was supposed to start in mid 2025, which we’re approaching now.

The government guarantees that the price of RON 95 will not be raised for the rakyat, although the matter has been discussed by the cabinet, Sinar Harian says. Prime minister Datuk Seri Anwar Ibrahim said that there was a push for the RON 95 price to be raised, but he didn’t agree with the proposal.

“I’m thinking of the RON 95 petrol subsidy issue. Some have asked for the price to be increased for the rakyat. However, I don’t agree. If it is to be done, RON 95 price adjustment (the amount of subsidy) has to go down bit by bit according to timing and market price,” the PM said in his winding up speech as PKR president at the party’s congress in Johor.

However, foreigners will have to pay more for fuel. “Foreigners enjoy RM3-4 billion in subsidies. Maybe after this, to buy RON 95 petrol, one will have to show his identity card,” Anwar said, stressing that the pump price for around four million foreigners in Malaysia has to be raised.

Is Anwar disowning the fuel subsidy rationalisation plan? Last week, economy minister Datuk Seri Rafizi Ramli said that the plan has been handed over to the finance ministry, which Anwar heads, and the responsibility for it no longer falls under his ministry’s jurisdiction.

“This was the decision of the cabinet. From the ministry of economy’s side, we have brought this matter to the cabinet four times, and the current position is to await action from the finance ministry. They will be managing the entire RON 95 subsidy process from now on. We must wait for their official announcement. It is best to get more details from them,” Rafizi said.

Both the stories match, which likely means that the ‘some’ in Anwar’s speech refers to Rafizi. This raises some questions. Surely, the Pandan MP wasn’t working on a ‘pet project’ and subsidy rationalisation is the Madani government’s direction, with the assignment (given by the boss) getting full buy-in from everyone involved?

By the way, Rafizi has just lost his PKR deputy president post to Nurul Izzah Anwar, the PM’s daughter, and there have been rumours of his resignation from the cabinet.

Anyway, if PMX wasn’t misquoted, T20s – unfairly labelled as maha kaya – need not ditch ICE for EVs en masse as they too are part of the rakyat, and will continue to enjoy subsidised RON 95.