Government on the hunt for Singaporean car seen refuelling RON 95

The Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) is currently on the hunt for the Singaporean car seen refuelling RON 95 in a photo that went viral last week.

In case you don’t know, the sale of subsidised products such as RON 95 petrol to foreigners was banned in 2010. Foreigners are only allowed to fill up on the non-subsidised RON 97 petrol.

If found guilty of such sales, the party will be fined a maximum of RM 1 million or jailed for up to three years. The company, meanwhile, will face a penalty of RM 2 million.

These offences come under the Control of Supply Act 1961 (Act 122) and Control of Supply Regulations 1974.

Minister Alexander Nanta Linggi issued the warning of aggressive enforcement action towards foreign buyers of RON 95 petrol and local dealers in a statement responding to the viral photo.

He also stated that enforcement officers from his ministry have been instructed to ensure high compliance by petrol traders following the full reopening of the economic sectors and borders on 1-April-2022.

More aggressive monitoring will be conducted at all petrol stations especially those in towns close to the Singapore and Thailand borders to prevent the sale of subsidised petrol to foreign vehicles.

Nanta also encourages the public to make complaints and report to the ministry if they come across cases where subsidised petrol is being sold to the wrong parties.

RON 95 petrol is heavily subsidised by the government despite the soaring global prices resulting from the Russia-Ukraine war. As pointed out by former prime minister Najib Razak, every litre of RON 95 petrol is around RM 1.70.

“If foreigners fill 40 litres of RON 95, the government will lose RM 68 of the people’s money to foreigners,” he said in a Facebook post urging local authorities and petrol stations to ensure foreigners did not take advantage of the subsidies.

Also read: Fuel subsidies to stay despite rising oil prices says National Budget Office director

However, Petrol Dealers Association of Malaysia (PDAM) president Khairul Annuar Abdul Aziz pointed out to Free Malaysia Today (FMT) that kiosk operators simply do not have sufficient manpower to monitor the purchase of RON 95 by foreign-owned vehicles.

He continued that it would be too costly to constantly all vehicles at petrol stations purchasing RON 95.

Also read: MoF: Fuel subsidy to be reviewed, RM 28 billion subsidy cost for 2022 if no intervention