PAPAR, June 29 — The government is currently refining the proposal to use the fleet card mechanism for certain subsectors in Sabah and Sarawak, even though both states are currently exempt from the targeted diesel subsidy initiative.
Minister of Domestic Trade and Cost of Living, Datuk Armizan Mohd Ali, stated that the proposal, aimed at improving standard operating procedures to address leakages and misappropriation of diesel subsidies in these states, is still under consideration.
“We are considering and refining various approaches to tackle the issues of leakage, misappropriation, and smuggling of diesel in Sabah and Sarawak,” he told reporters after a handover ceremony of buses and trucks by a private company here today.
In a related development, Armizan clarified that the government’s decision to exempt Sabah and Sarawak from the targeted diesel subsidy is based on the needs and interests of the people, rather than narrow political considerations.
The Papar member of parliament explained that the rationale behind the government’s decision was based on the high usage of four-wheel-drive vehicles in Sabah and Sarawak due to geographical factors and road conditions.
“The people of Sabah and Sarawak use diesel not by choice but out of necessity due to these factors,” he added.
Armizan hoped that no party would attempt to politicise the government’s decision to exempt Sabah and Sarawak from the targeted diesel subsidy.
“This year, we have allocated an equal budget of RM3.6 billion for targeted diesel subsidies for both states. This demonstrates the Federal Government’s substantial support for Sabah and Sarawak,” he emphasised. — Bernama
