East Malaysian stakeholders are intensifying their appeals for stronger backing of the subsidised diesel scheme, as recent figures reveal usage in Sabah and Sarawak has vastly outstripped the government’s early estimates.
In Kota Kinabalu, the Sabah state administration has lent its support to tourism operators seeking inclusion in the national diesel subsidy. Tour guides and excursion providers emphasise that dependable, cost-effective fuel is vital for land, sea and river adventures—major draws for both local and foreign visitors. They warn that without access to subsidised diesel, small tour outfits and rural enterprises could face soaring expenses that threaten their survival.
At the same time, in Sarawak and Sabah, the Orang Ulu business association is urging an increase of the individual “Budi Diesel” allowance from 200 litres to 500 litres per month. Representing traders, small-scale manufacturers and remote communities that depend on diesel for generators, logging and transport, the group argues that the current quota falls short, especially with fuel price hikes over the past year.
Behind these demands lies a notable trend: diesel sales in Sabah and Sarawak between March and April nearly doubled the finance ministry’s projections. Deputy Finance Minister Amir Hamzah Ahmad Tariff has acknowledged the spike and confirmed that a subsidy scheme review is underway. Possible adjustments include boosting per-user allowances, widening eligibility or refining distribution methods to guarantee that remote areas and tourism-linked businesses obtain subsidised diesel.
As deliberations progress at the state and federal levels, local enterprises and community leaders hope any revised programme will balance cost containment for the government with equitable access for those relying on diesel to sustain their livelihoods.
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