JOHOR BARU, Dec 24 — The Domestic Trade and Cost of Living Ministry will use the Road Transport Department’s (RTD) vehicle database as part of its provision for targeted subsidies involving RON95 petrol.
Its minister Datuk Seri Salahuddin Ayub said that usage of RTD’s vehicle database was taken into consideration after his ministry’s meeting with the Finance Ministry and the Economy Ministry yesterday.
“As a result of discussions and engagement sessions with the Finance Ministry and Economy Minister Rafizi Ramli, we have seen details of RTD’s vehicle database for the subsidy targeting RON95 petrol.
“In terms of the data for the targeted subsidy mechanism, it is almost completed for us to resubmit it again to Prime Minister Datuk Seri Anwar Ibrahim,” said Salahuddin to reporters after inspecting complaints of damaged elevators at the Melana Indah people’s housing project (PPR) here today.
He was responding to the government’s need to immediately develop a mechanism on who will gain from the targeted subsidies for RON95 petrol.
Salahuddin, who is also the Pulai MP, explained that the proposal paper on the targeted subsidy mechanism was earlier presented during the National Action Council on Cost of Living (NACCOL) meeting chaired by the prime minister on December 13.
However, he added that some details were still being finalised and the Domestic Trade and Cost of Living Ministry will also need time before it can be implemented.
“The prime minister has also instructed that the details of the targeted subsidy mechanism be re-examined.
“For now, the government is carrying on with its existing policy, including not withdrawing the current subsidies or raising any tariffs that could burden the people.
“So, the existing subsidy policy will continue until NACCOL comes up with a new decision later,” he said.
Rafizi was reported to have said yesterday that a mechanism needs to be immediately developed to categorise groups or individuals who will gain from the RON95 petrol targeted subsidies.
He said that such a move needs to be implemented immediately because the country has no fiscal space or financial capacity, except the implementation of targeted subsidies.
“The implementation of the mechanism is a challenge that the government must face to ensure that the subsidy is given fairly and without wastage,” he said.
When asked whether the use of personal documents, including identity cards, will be used as a main element in the targeted subsidy mechanism, Salahuddin said that the mechanism or method of giving out the subsidy will be examined first.
“We will discuss the details of the mechanism later. In today’s digital age we can use all kinds of modern methods, but they must be effective,” he said.
Salahuddin pointed out that the decision to implement the targeted subsidy mechanism was up to the Cabinet.
“The Domestic Trade and Cost of Living Ministry, as the NACCO secretariat, which is also a member of 11 ministries, is prepared with the proposal paper that will be reassessed by the Cabinet.
“The proposal paper for the implementation of targeted subsidies is almost ready. We are just waiting for the Cabinet’s decision,” said Salahuddin.
