Voon says extending the policy to Sarawak in its current form would fail to reflect the state’s unique circumstances as an oil-producing region with significant transportation and logistical challenges.
KUCHING (June 27): A one-size-fits-all approach to implementing the diesel subsidy policy is unsuitable for Sarawak due to its vast geographical size, higher logistics costs and heavy reliance on diesel-powered transportation, according to social activist Voon Shiak Ni.
Her remarks come in response to the federal government’s announcement under the Budi Madani Diesel programme, which provides a basic quota of 200 litres of subsidised diesel per month at RM2.10 per litre.
Voon said extending the policy to Sarawak in its current form would fail to reflect the state’s unique circumstances as an oil-producing region with significant transportation and logistical challenges.
“The diesel subsidy arrangement for Sarawak should be maintained as it is, as Sarawak has its own unique circumstances as an oil-producing region with vast geographical and logistic challenges,” she said in a press statement.
She added that the proposed 200-litre monthly cap is impractical for many users in the state, particularly those in the transport sector.
“The implementation of a national policy limiting diesel subsidy eligibility to 200 litres per month is neither suitable nor justified for Sarawak, where distances are much longer, transportation costs are already higher, and many industries depend heavily on diesel-powered vehicles,” she said.
According to Voon, lorry drivers and transport operators would be among the hardest hit if the policy were applied uniformly nationwide.
She said many drivers rely on diesel daily for long-distance deliveries connecting urban centres with rural and interior areas.
“One group that will be significantly affected are lorry drivers and transport operators. Many rely on diesel daily to deliver goods across Sarawak’s large land area, including rural and interior communities,” she said.
Voon also cited feedback from a lorry driver, who said his monthly diesel usage far exceeded the proposed cap because of long-haul deliveries.
“One lorry driver shared that he drives for a living and uses more than 2,000 litres of diesel a month transporting stones from Paku, Bau to Jalan Stephen Yong.
“Imagine those who have to travel even longer routes,” she said.
She stressed that regional differences and economic realities should be taken into account when formulating national subsidy policies.
“A one-size-fits-all approach may not reflect the realities of different regions. Sarawak’s contribution as an oil-producing state and its unique logistical challenges should be considered when formulating diesel and petrol subsidy policies,” she said.
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