Govt considers extending petrol subsidy to M40 group

GEORGE TOWN: The government hopes to rollout the petrol subsidy scheme by the second quarter of next year and is considering extending the subsidy to the lower M40 (middle class) group.
The government wants to ensure that only those who are entitled to the subsidy would benefit from it, Domestic Trade, Consumerism and Cooperatives Minister Datuk Saifuddin Nasution Ismail said here today.
"The faster we implement the new system, the more savings we can earn for the government and it can be rechanneled to other areas of needs," Saifuddin said.
"We have to see how much we can save. We spent RM7 billion on petrol subsidies this year.
"If we see that it is reasonable to extend the subsidy to the lower M40 group from the savings we make, we will look into it."
The governemnt will issue a Request For Proposal (RFP) from the service providers on how best to implement the system.