Ever ready: The government is cooperating with fuel companies to prepare fleet cards ahead of the diesel subsidy rationalisation exercise.
PUTRAJAYA: Fuel companies have prepared one million fleet cards in anticipation of a rise in registrations for the Subsidised Diesel Control System (SKDS) 2.0 ahead of the rationalisation exercise, says the Domestic Trade and Cost of Living Ministry.
Its minister Datuk Armizan Mohd Ali said this number was based on the eligible vehicle types under SKDS, which amounted to about 410,000 vehicles.
“This is part of the cooperation between the ministry and the fuel companies involved to ensure preparedness once diesel subsidies are rationalised,” he said.
He added that these one million cards would also ensure fuel companies have sufficient stocks once applications are made.
“Some fuel companies are also able to issue the fleet cards within a week, creating a more seamless process,” Armizan told a press conference after attending the ministry’s SKDS 2.0 open day here yesterday.
He said eligible vehicles under the programme can also submit their applications online at https://mysubsidi.kpdn.gov.my.
He said the system is also integrated with MySikap under the Road Transport Department and the Companies Commission of Malaysia system.
This, he said, would only require applicants to fill up their registration number.
“If their information is complete, their application can be approved almost instantly.
“Through this process, we are confident that there will be an increasing number of SKDS registrations,” he said.
Those eligible for SKDS can also apply for up to three fleet cards across the five fuel companies participating in the programme, he added.
To a question on why there was no single integrated fleet card across the board, Armizan said they were utilising existing infrastructure and did not want to incur further spending.
“At this stage, we don’t want to spend money on a new system. The fleet card systems are already available in fuel companies and we are just integrating them into the SKDS.
“If there are proposals later on, maybe we can consider them, but for now, we don’t want any additional costs,” he said.
SKDS 2.0 is currently open only to Malaysia-registered company vehicles that have a valid road tax.
Under the programme, 33 categories of vehicles are eligible, with 10 from the public transportation sector and the rest from the goods transportation sector.
On May 21, Prime Minister Datuk Seri Anwar Ibrahim said subsidies for diesel would be rationalised.
The diesel subsidy will first be rationalised in the peninsula, while the implementation in Sabah and Sarawak will happen later, he said, without mentioning any timeline for those two states.
Elaborating on the diesel subsidy, Armizan stressed it is not being abolished but only being rationalised.
He added that the rationalisation is done through the SKDS under the Domestic Trade and Cost of Living Ministry and Budi Madani programme by the Finance Ministry.
“We are continuing the subsidy in a targeted manner. The reason is to tackle leakages that have been a longstanding issue due to the blanket subsidy.”
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