RM40B Oil Spike: Why Your RON95 Stays at RM1.99
Oil spiked above US$100. Your pump didn't. The ~RM40B gap is the government's bill, not yours.
01/06Oil just spiked. Your pump price didn't.
Photo: U.S. National Archives / CC0 1.0US storms and Houthi attacks pushed oil to a two-week high. Your RON95 still sits at RM1.99. BUDI95 is eating the gap. - 02/06
Mum Oil already above US$100. Why is my RON95 still RM1.99? Uncle Government paying around RM40 billion to keep it there. You BUDI95 covers the gap between RM1.99 and the market rate. Within your monthly quota. Uncle So not free forever? You As long as oil stays above US$100, that ~RM40B keeps going. This year and next. A dramatised chat. The numbers are the real ones. - 03/06
Me at the pump, price not moving Oil above US$100. My RON95 at RM1.99. The government's eating the gap, not me. - 04/06
~RM40B Malaysia's fuel subsidy bill, this year and next The number behind your RM1.99 While oil stays above US$100, the gap between market rate and RM1.99 costs roughly RM40 billion a year. This year and next. - 05/06
Check MOF's BUDI95 page for your current monthly litre quota Eligible? Fill at RM1.99 within that quota Not eligible? You pay the weekly market price
Check before your next fill-up BUDI95 rules change. The monthly quota especially. - 06/06
Bottom line Your pump price is locked. For now. RM1.99 within quota, ~RM40B to the government. Check MOF for the current litre limit before you plan your fill-ups.
Questions people ask
Why hasn't my RON95 price gone up if oil is above US$100?
BUDI95 (BUDI MADANI RON95) absorbs the gap between the market rate and RM1.99 per litre for eligible Malaysian citizens within a monthly quota. The government pays the difference.
How much is the government spending on fuel subsidies?
Around RM40 billion this year and next, as long as oil stays above US$100. The two-week high was driven by US storms and Houthi attacks threatening Gulf shipping.
What is the BUDI95 monthly quota?
Reports differ on the current monthly litre limit. Check MOF's BUDI95 page (mof.gov.my) for the exact figure before planning your fill-ups.
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