Sarawak Petroleum Dealers Association backs diesel controls, urges tighter monitoring

KUCHING (March 27): The Sarawak Petroleum Dealers Association (SPDA) has pledged to work closely with authorities to ensure the smooth implementation of the government’s diesel control measures, which take effect on April 1.

In a statement, the association expressed support for the initiative, describing it as part of ongoing efforts to curb misuse and ensure subsidies reach intended recipients.

However, SPDA highlighted potential loopholes, particularly repeated refuelling to bypass per-transaction limits, and called for closer monitoring of increased refuelling frequency that could lead to congestion and longer waiting times at stations.

It also stressed that Sarawak’s geographical challenges, including long distances between towns and limited station density along certain routes, must be taken into account.

The association urged the government to provide clearer and more aligned operational guidelines, especially in handling emerging refuelling patterns under the policy.

While fleet-based monitoring systems exist, SPDA noted that not all vehicles are registered and the Subsidised Diesel Control System (SKDS) has yet to be implemented in Sarawak, indicating that a uniform nationwide approach may require further consideration.

To address this, it proposed enhanced monitoring mechanisms based on vehicle identification, as well as a phased or targeted approach for commercial logistics operators.

It also suggested greater operational flexibility along key long-haul routes and continued engagement with industry stakeholders.

SPDA chairperson Laura Hartini Maurice said the association remains committed to working with the federal Ministry of Domestic Trade and Cost of Living (KPDN) and other stakeholders to ensure effective implementation without disrupting operations.

“We support the government’s efforts to curb misuse of subsidised diesel. At the same time, implementation must take into account Sarawak’s unique operating environment to ensure smooth logistics and station operations,” she said.

On Thursday, Prime Minister Datuk Seri Anwar Ibrahim announced that the eligibility cap for the Budi95 subsidised petrol scheme will be reduced from 300 litres to 200 litres per month, starting next month, while maintaining the price at RM1.99 per litre.

He said the move aims to ensure sufficient supply, manage subsidy spending and curb smuggling activities amid rising global oil prices and supply uncertainties.