KUALA LUMPUR: The government has pulled the plug on blanket RON95 petrol subsidies, floating prices and only subsidising cars with engine capacities under 1,500cc and motorcycles below 125cc.
This was announced by Finance Minister Lim Guan Eng in the 2019 Budget tabling today.
The subsidy for qualified vehicles will be set at 30 sen per litre, and capped at 100 litres a month for cars, while motorcycles are eligible for 40 litres a month.
Motorcyclists, however, will get some reprieve as from January 1 next year, there will be no tolls for motorcycles on the First and Second Penang Bridge and the Second Link in Johor.
With this new ruling, cars that will no longer be eligible for petrol subsidies will include Proton Exora (1600cc), Proton Preve (1600cc), Proton Suprima (1600cc) as well as the soon-to-be-released Proton X70 (1800cc), based on engine capacity.
Cars that will be eligible for subisidies will include the BMW 3 Series 318i Luxury, Audi A4 1.4 TFSI, new Mercedes-Benz C200 and Perodua Myvi.