PUTRAJAYA, April 15 — Communications Minister Datuk Fahmi Fadzil said the government has stepped up enforcement against diesel smuggling, including the deployment of police personnel at more than 150 high-risk petrol stations nationwide and a review of subsidy mechanisms to address leakage and misappropriation.

He said Prime Minister Datuk Seri Anwar Ibrahim has taken a firm stance on diesel-related issues, including subsidy leakage, smuggling and misuse of subsidised fuel.

“Royal Malaysia Police have been stationed at these identified high-risk fuel stations to prevent and curb any suspected illegal activities.

“During a recent National Economic Action Council meeting, a case was also raised involving a petrol station recording unusually high fuel sales compared to all other stations nationwide, even after accounting for local population size. This further reinforced the decision to deploy police personnel at high-risk locations without delay,” he told reporters at the ministry's weekly press conference here today.

On subsidy rationalisation, Fahmi said the government is reviewing its fuel subsidy targeting mechanism, including proposals to move from direct cash assistance under programmes towards a more structured system similar to BUDI95.

He said the aim is to improve efficiency and ensure subsidies are better targeted, particularly for eligible groups such as commercial vehicle users.

“We expect that when the time comes, this will help make the system more efficient and practical, particularly for Malaysians such as those who drive vehicles like Hilux pickups. 

“The aim is to ensure a simpler, more effective and better targeted approach, in line with how BUDI95 is being implemented,” he added.

For the fisheries sector, he said discussions are ongoing at the council level, with the Ministry of Agriculture and Food Security studying a tailored mechanism for fishermen. 

He said the proposal is still under consultation with the Fisheries Development Authority of Malaysia (LKIM) and will be further refined before being presented next week.

He also added that authorities have confirmed diesel reportedly reaching the Philippines is not sourced from Malaysian petroleum.