Monday, 6 July, 2026

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Ling to seek review of diesel subsidy

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SIBU: Sibu MP Oscar Ling Chai Yew will meet Finance Minister II Datuk Seri Amir Hamzah Azizan on Wednesday (July 8) to raise concerns over the implementation of the diesel subsidy policy, particularly its impact on Sarawak.

Among the issues he intends to highlight are the inadequacy of the current monthly diesel quota of 200 litres, with an additional 100 litres under the existing scheme, the limited allocation for commercial transport operators and the exclusion of certain commercial vehicles from subsidy eligibility.

Ling said tourist buses and dumper lorries are currently ineligible for the subsidy despite playing important roles in the state’s transport and construction sectors.

He also raised concerns over fuel availability, noting that only B20 diesel is currently supplied, while many vehicle owners have appealed for B7 diesel to be made available as some vehicles are not suitable for B20.

In addition, Ling said the subsidy eligibility of vans owned by religious organisations remains unclear and should be clarified by the federal government.

He stressed that Sarawak’s vast geographical landscape and the long distances between towns and rural settlements make pick-up trucks an essential mode of transport for many residents. In view of this, he will propose that the monthly diesel quota be increased to between 400 and 500 litres.

Ling said Sarawak’s economic conditions differ significantly from those in Peninsular Malaysia, where transport distances are generally shorter.

“When transport costs increase, operators, particularly those transporting small quantities of goods, are unable to absorb the additional expenses and are left with no choice but to pass the higher costs on to consumers,” he said.

He also urged the federal government to recognise the unique circumstances in Sarawak and Sabah and consider alternative measures to curb diesel smuggling, which is the primary objective of the subsidy rationalisation policy.

Ling expressed hope that the meeting would lead to a review of the diesel subsidy policy for East Malaysia.

He maintained that the current maximum allocation of 300 litres per month is insufficient for Sarawak, given the state’s vast size and the extensive travel required between urban and rural areas.

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