Government Opens Tenders For Targeted Fuel Subsidy System

Government Opens Tenders For Targeted Fuel Subsidy System

The Finance Ministry has called for the submission of tenders for next year’s targeted fuel subsidy. In this, the government expects interested parties to suggest and recommend a deployment system for the RON95 fuel subsidy that is due to be implemented in the middle of next year.

Announced during 2019 budget tabling, the fuel subsidy is aimed at cars with an engine capacity of 1.5l and less, and motorcycles of 125cc and less. There are supposedly additional requirements to qualify for the subsidy as well, but these have not yet been announced. Supposedly, these would be in place to restrict the subsidy to the targeted income levels.

“The tender requires the interested parties to propose, study, design, develop, supply, install, test, commission and operate the software and application of the targeted fuel subsidy system for RON95 petrol,” said Domestic Trade and Consumer Affairs Minister Datuk Seri Saifuddin Nasution Ismail.

The government plans to begin rolling out the subsidy by the second quarter of 2019, and expects to target up to 6.5 million car and motorcycle owners. Under the scheme, cars will receive 100 litres of RON95 at a subsidised price each month, while motorcycles will receive 40 litres.


Get free weekly money tips!

*Free of charge. Unsubscribe anytime.
newsletter image