KUALA LUMPUR: Data from the Road Transport Department (RTD) shows that about 40 per cent of B60 households do not have a vehicle registered in their name.
Economy Minister Rafizi Ramli said these was the findings of the Central Database Hub (Padu) after it matched ownership data with all vehicle registrations at the RTD.
"The reality is that lower-income families, may not have a registered vehicle, as one family often uses a motorbike registered under another person's name.
"We also encountered this during the targeted diesel subsidy, where people used others' names.
"Preliminary data shows there is significant mismatch due to differing practices, such as people continuing payments under others' names, and around 40 per cent of users not being in the RTD system.
"So, using vehicle registration as the method to target RON95 fuel subsidies would come with a high risk of exclusion," he said in the Dewan Rakyat.
Rafizi was responding to a question from Suhaizan Kaiat (PN-Pulai) on whether the government would consider the levy system when the public renews their road tax, as the two-tier pricing system could cause congestion at petrol stations.
He said the government had decided on the two-tier pricing system to avoid inflation and rising prices of goods.
The two-tier pricing system would introduce two prices at petrol stations—one that is subsidised and the other that is not—using several methods currently under consideration, namely identification cards and e-wallets.