Targeted RON95 subsidy – video shows how MyKad and reader terminal are used to determine eligibility

Details of the RON 95 fuel subsidy rationalisation plan are expected to be announced by the end of September 2025, according to a Bernama press citation posted by the ministry of finance a month ago on August 26.

In that posting, the ministry revealed the MyKad (Malaysian identity card) as one of the mechanisms being considered to determine eligibility for subsidised Budi Madani RON 95 petrol. “This MyKad mechanism works by inserting the MyKad into a government-provided reader terminal. The terminal will connect to the government’s Central Database Hub (PADU) to determine eligibility and quota,” the ministry explained.

We now have a better sense of how the MyKad mechanism might work thanks to a video posted on Facebook recently. In the video, a staff at a petrol station uses the reader terminal to access a page to determine eligibility, after which a MyKad is inserted.

After a few seconds to (presumably) contact PADU, the terminal will reveal if the individual is eligibly for subsidised RON 95 petrol. A blue tag show eligibility, while a red one indicates either a filled quota or ineligibility.

Following this, an order is created and the customer indicates the amount of RON 95 needed before payment is made. From there, it (should) be just a matter of collecting a receipt and filling up your vehicle.

The video doesn’t show if this validation process can be done at the pump itself, which suggests every customer eligible for subsidised RON 95 will need to go to the counter each time they want to fill up. It also doesn’t provide any information on how oil company apps such as Setel will work with determining eligibility. Presumably, such apps will likely have the means to verify a user’s eligibility through MyKad registration (e-KYC), which would have all the necessary details. The digital app would technically also be able to determine and calculate used and remaining quota, if applicable.

In its August 26 posting, the finance ministry had said that in addition to the MyKad, other mechanisms under consideration include e-wallets as well as oil company apps. At present, account verification/e-KYC (submitting photos of your MyKad and face) is required for such apps, so it could be a case of a one-time validation to determine eligibility.

The finance ministry also pointed out the government will set up a public portal for individuals to check eligibility for subsidised RON 95 petrol, along with a contact centre to allow the public to seek assistance, provide feedback or lodge complaints through various channels.

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