Budi95 Quota Raised to 300 Litres, Diesel to 400

Budi95 and Budi Madani Diesel: Monthly Fuel Subsidy Quotas Raised from September 1

Budi95 is the Malaysian government's targeted fuel subsidy scheme for RON 95 petrol, administered under the Budi Madani framework, which provides eligible Malaysian citizens with subsidised fuel at RM1.99 per litre via the MyKad system. The scheme, overseen by the Ministry of Finance under Prime Minister and Finance Minister Datuk Seri Anwar Ibrahim, is designed to alleviate living costs for the rakyat while curbing subsidy leakage. From September 1, 2026, the monthly quota for Budi95 users increases from 200 litres to 300 litres, with the Budi Madani Diesel ceiling for approved pick-up truck and jeep owners rising from 300 litres to 400 litres.

Key Facts

What Are the New Budi95 and Budi Madani Diesel Quotas from September 1?

From September 1, 2026, the monthly subsidised fuel quota for Budi95 RON 95 petrol increases from 200 litres to 300 litres. For Budi Madani Diesel, the base quota—which is shared with Budi95—also rises to 300 litres, while the ceiling for approved pick-up truck and jeep users increases from 300 litres to 400 litres per month.

Prime Minister Anwar Ibrahim announced the revision during his Merdeka address, stating the government had decided to review the quota arrangements to ease the pressures of living costs and fuel price fluctuations on the rakyat. This change restores the original 300-litre quota that was in place when the RM1.99 per litre RON 95 price was introduced in September 2025, before being temporarily trimmed to 200 litres from April 1, 2026, to optimise subsidy distribution and curb misuse.

"The monthly quota for subsidised RON 95 petrol under the Budi95 scheme goes up from the current 200 litres to 300 litres, and as the Budi Madani Diesel base quota is shared with Budi95, diesel users get the same uplift – with the ceiling for approved pick-up truck and jeep users rising from 300 litres to 400 litres."

How Does the Shared Quota System Work for Diesel Users?

The Budi Madani Diesel scheme, introduced in July 2026, prices subsidised B10/B15 diesel at RM2.10 per litre for Malaysian citizens via MyKad. Its base quota is not a separate allocation; it is shared with Budi95, meaning the increase from 200 to 300 litres applies to both fuels collectively.

Owners of pick-up trucks and jeeps used for work can apply for an additional 100 litres per month on top of the base quota. With the new adjustment, this ceiling rises in tandem from a maximum of 300 litres previously to 400 litres. In practical terms, diesel users transition from a 200/300 litre structure (base/with approved top-up) to a 300/400 litre structure.

Diesel users with approved work vehicles now have access to up to 400 litres of subsidised fuel per month, an increase of 100 litres from the previous ceiling.

Are the Subsidised Fuel Prices Changing?

No, the subsidised fuel prices themselves remain unchanged. RON 95 petrol stays at RM1.99 per litre for Malaysians with a valid driving licence under Budi95, and diesel remains at RM2.10 per litre under Budi Madani Diesel. The quota increase applies only to the volume of fuel eligible for the subsidy, not the price per litre.

Beyond the monthly quotas, users pay the prevailing unsubsidised prices. For the week of August 27 to September 2, 2026, the unsubsidised price for RON 95 stands at RM3.82 per litre, while B10/B15 diesel is priced at RM4.72 per litre. This means the subsidy saves eligible users RM1.83 per litre on RON 95 and RM2.62 per litre on diesel within their monthly quota limits.

The subsidy mechanism continues to provide a saving of RM1.83 per litre on RON 95 and RM2.62 per litre on diesel, based on the unsubsidised prices for the week of August 27 to September 2, 2026.

Who Benefits from the Increased Fuel Quotas in Malaysia?

The quota increase benefits approximately 16 million Budi95 users and more than 500,000 Budi Madani Diesel users across Malaysia. This includes private vehicle owners with valid driving licences, as well as pick-up truck and jeep owners who use their vehicles for work purposes and have received approval for the additional top-up allocation.

For Malaysian households, the restoration of the 300-litre monthly quota for RON 95 is significant. A typical family car with a 50-litre fuel tank would now be able to purchase subsidised fuel for approximately six full tanks per month, compared to four tanks under the reduced 200-litre quota. For commercial users of pick-up trucks and jeeps, the 400-litre ceiling provides greater operational flexibility, particularly for those in logistics, agriculture, and construction sectors who rely heavily on diesel-powered work vehicles.

Approximately 16 million Budi95 users and over 500,000 Budi Madani Diesel users across Malaysia stand to benefit from the reinstated and increased fuel quotas effective September 1, 2026.

Common Questions

Why was the Budi95 quota reduced to 200 litres in April 2026?

The government trimmed the Budi95 quota from 300 litres to 200 litres from April 1, 2026, as a temporary measure. The stated reasons were to optimise subsidy distribution and curb misuse of the subsidised fuel system.

How do I apply for the additional 100-litre diesel top-up for my pick-up truck?

Owners of pick-up trucks and jeeps used for work can apply for an additional 100 litres per month on top of the base quota. The ceiling for this approved top-up has now risen from 300 litres to 400 litres, effective September 1, 2026.

Does the quota increase affect the price I pay for RON 95 or diesel?

No, the subsidised prices remain unchanged at RM1.99 per litre for RON 95 and RM2.10 per litre for diesel. The quota increase only raises the volume of fuel you can purchase at these subsidised rates each month.

Sources and Methodology

This article is based on the original report published by Paul Tan's Automotive News on August 30, 2026, titled "Budi95 monthly quota increased to 300 litres from Sept 1, Budi Madani Diesel to 400 litres – PM Anwar." The source URL is: https://paultan.org/2026/08/30/budi95-monthly-quota-increased-to-300-litres-from-sept-1-budi-madani-diesel-to-400-litres-pm-anwar/

All figures, quotes, and policy details are drawn directly from this source. No currency conversions were required as all prices are already stated in Ringgit Malaysia (RM). The unsubsidised fuel prices referenced are for the week of August 27 to September 2, 2026, as reported in the source material. This article was last updated on August 30, 2026. Information specific to Malaysia was verified against the Paul Tan's Automotive News report.