RON95 subsidy-messaging needs tune-up

I APPLAUD the government’s plan to introduce targeted subsidies for RON95 petrol as announced in Budget 2025. In the long run, this approach will ensure that subsidies reach those who need them most.

This targeted move means funds can be better spent on essential services such as healthcare, education and infrastructure. It also avoids wasteful spending where the wealthiest and even foreign nationals currently benefit disproportionately from subsidies meant to help the average Malaysian.

However, the communication surrounding this important change has been a complete mess.

Since the announcement, various government figures have given conflicting messages, leaving the public confused and anxious.

For instance, while the prime minister mentioned that around 85% of Malaysians would still benefit from the subsidies, other officials have added confusing layers.

We have Economy Minister Rafizi Ramli suggesting a
two-tier pricing system that differentiates prices based on income, introducing the concept of a “T15” group. Days later, he conceded that the definition of T15 is still in the works.

Transport Minister Anthony Loke further added a suggestion of using MyKad at petrol stations to restrict subsidies to Malaysians only. Treasury Secretary-General Datuk Johan Mahmood Merican then weighed in, saying the government is “considering” a tiered subsidy similar to electricity. So, which is which?

Finance Minister II Datuk Seri Amir Hamzah has asked the public to avoid speculation as the income threshold is still undecided.

With these overlapping, sometimes contradictory statements, Malaysians are left wondering: What exactly is happening? Is there even a clear plan? Or is each ministry proposing its version, leaving the people in limbo?

These confusing signals do more harm than good. They create a sense of uncertainty and give the impression that there is no cohesive approach to implementing an important policy.

A unified, single message
is essential, especially when dealing with subsidies that affect people’s daily lives.

The government must assign a clear project leader to this subsidy reform. Is it the Finance Ministry, the Economy Ministry or the Domestic Trade and Cost of Living Ministry?

Once the lead is determined, all communications should flow directly from this designated ministry to avoid confusion.

A good example of effective communication was seen in the recent diesel subsidy rationalisation.

Information was straight-forward, easy to understand and delivered consistently. People knew what to expect and who to turn to for information.

If the government does not get its act together on communicating the RON95 subsidy reforms, it will only cause anxiety, confusion and distrust.

Getting communications right is not just a matter of public relations – it is crucial for gaining public support and making this beneficial change work smoothly.

Abdul Latiff Abdul Hakim