During the reading of the 12th Malaysia Plan, or Rancangan Malaysia Ke-12 (RMK-12), at the Dewan Rakyat yesterday, Prime Minister Datuk Seri Ismail Sabri Yaakob revealed a few changes that will directly affect the automotive sector. Here’s a brief recap.
- To achieve its carbon-neutral goal by 2050, the government plans to introduce a new carbon policy and carbon tax by 2022. Read more about it here.
- Putrajaya has started a study to identify mechanisms in phasing out old vehicles in a sustainable manner. This means that the government is relooking at the idea of introducing a vehicle end-of-life (ELV) policy previously mooted in 2009.
- Proposal to include extra benefits such as zero-rated import and excise duties and sales tax for the purchase of electric vehicles (EV). The government has also suggested the zero-road tax incentive be applied to fully-imported (CBU) EVs.
- An energy-efficient driving programme to be made mandatory for all driving licence classes in Malaysia. The programme will teach drivers how to drive in an environmentally-conscious manner.
- To scale up the use of palm oil-based biodiesel from the current B7 and B10 biodiesel to B15 and B20. The government plans to move on to the use of B30 biodiesel fully by 2025.
- The government is considering reducing parking space and increasing parking charges in city centres. This is to discourage dependence on private vehicles and boost the reliance on public transport.