Diesel subsidy targeting transition to BUDI MADANI begins July 1

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Kuching, 24 June 2026 (The Capital Post) – The government’s diesel subsidy rationalisation effort will officially transition into the BUDI MADANI framework starting 1 July 2026, aimed at addressing inconsistencies in the current subsidy mechanism.

According to a post on the official Facebook page of Kementerian Kerja Raya Malaysia, Works Minister YB Dato Sri Alexander Nanta Linggi attended a media briefing session on the implementation of diesel subsidy targeting reforms, delivered by Second Finance Minister YB Senator Datuk Seri Amir Hamzah Azizan earlier today.

The initiative is part of the government’s efforts to streamline subsidy distribution and ensure a more targeted and efficient mechanism for diesel assistance nationwide.

Under the system, Malaysian citizens with valid driving licences and diesel-powered vehicles can check their eligibility status through the official portal at www.budimadani.gov.my. Applicants who require additional allocation may also submit special eligibility requests via the same platform.

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Operationally, the BUDI MADANI implementation for diesel is expected to function similarly to the BUDI95 mechanism, which has already been introduced.

Full transition to the BUDI MADANI diesel subsidy system is scheduled to begin on 1 July 2026.

The reform reflects ongoing efforts to improve subsidy efficiency while ensuring assistance is better targeted to eligible recipients. – The Capital Post