SERDANG: An additional RM100mil will be allocated to the Federal Land Development Authority (Felda) for its operating costs.
Prime Minister Datuk Seri Anwar Ibrahim said the allocation would be provided to address additional costs due to the increase in diesel prices.
“Taking into account the financial implications of RM121.6mil for Felda due to the rise in diesel prices, the government will provide additional subsidies of around RM100mil to Felda to cover additional operational costs.
“This is to ensure that the income of Felda settlers is not affected,” said Anwar at the Felda Settlers’ Day 2024 celebration at the Malaysia Agro Exposition Park Serdang here yesterday.
Anwar also announced an additional RM31.7mil allocation for 317 Felda settlements under the Sejahtera Komuniti Madani programme.
“The community is given the freedom to decide on sectors to focus on, such as agriculture and food, sewing and handicrafts, herbs and health, tourism and hospitality, as well as green activities and recycling.
“I hope this initiative will have a positive impact on the Felda community,” he said.
Addressing concerns about Felda settlers still driving “kereta sapu” or cars without road tax, Anwar said the government is exploring ways to assist them.
He encouraged constructive dialogue with Felda settlers to resolve issues, adding that the government is always open to finding solutions.
“Let’s discuss nicely to find a solution. If you criticise and scold me, I’d be even more reluctant to help out,” he said.
Meanwhile, Anwar acknowledged the sensitivity surrounding the subsidy rationalisation, noting its potential impact on public sentiment, which could translate into unpopularity for a prime minister.
“We can still foot the subsidies, but tens of billions of ringgit will end up in the pockets of foreigners and the rich,” he said.
He also cited the Auditor-General’s Report, which highlighted irregularities in Felda.
“Stern action will be taken to save this country,” he added.
The report revealed that Felda suffered an after-tax loss of RM1bil in 2022.