Two-tier RON95 pricing based on income – T15 pays RM2.76

In a bid to tackle fuel subsidies more effectively, Malaysia’s Economy Minister Rafizi Ramli recently introduced a two-tier RON95 petrol pricing system. This bold move, part of the government's broader subsidy rationalisation strategy, is designed to ensure that the wealthy contribute more, while keeping prices manageable for the average Malaysian.

So, What’s the Deal?

The new system will classify consumers based on their income. Those in the top 15% income bracket (T15) will pay RM2.76 per litre for RON95 petrol, while the rest of the population will continue to enjoy the subsidised rate of RM2.05 per litre.

Rafizi's announcement is part of Malaysia’s ongoing efforts to address the country's economic challenges. By reducing subsidies for higher-income earners, the government hopes to make these resources available for those who need them most, without compromising on the needs of the majority.

How Will It Impact You?

If you're not in the T15, this won’t change much—your fuel will still cost RM2.05 per litre. But if you are, well, time to pay your dues. This change not only affects how much you’ll shell out at the pump but also brings attention to how subsidies have been structured for years.

Feeling the heat? You can still save money elsewhere, like on your vehicle traffic fines, by using the Motorist Malaysia app. The app makes selling your car and paying fines easy—plus, you get a free valuation!

Malaysia Petrol Prices—A Shift in Strategy

This change comes at a crucial time, as Malaysia navigates an evolving economic landscape. The government’s shift in subsidy policies reflects a broader need to adapt to global changes while ensuring that the local economy remains competitive. Whether you drive every day or occasionally, petrol prices are something that affect everyone.

And as you ponder over the potential dent in your wallet, consider how you can offset these costs by avoiding traffic fines, selling your car smartly, or getting your next vehicle through the Motorist app.

What’s Next?

Rafizi hinted at the possibility of more income-based pricing mechanisms across other sectors. Could this two-tier pricing system become the norm for more essential services? Only time will tell.

In the meantime, the Motorist Malaysia app is here to help you manage your vehicle-related expenses. Whether it’s selling your car, finding out petrol prices, or paying off those pesky fines, download the app now and take control of your driving finances.

The two-tier pricing system may sting a little for the T15, but it’s a step towards a more equitable economy. While the majority of Malaysians will continue to enjoy affordable petrol prices, the wealthier few will contribute more. But hey, that’s just the price of progress!

And while you're at it, save on those vehicle traffic fines by downloading the Motorist app. After all, every ringgit saved counts, right?

Read More: RON95 Petrol price increase expected in Malaysia: July or October

Download the Motorist App now. Designed by drivers for drivers, this all-in-one app lets you receive the latest traffic updates, gives you access to live traffic cameras, and helps you manage vehicle related matters.