Sabah seeks Budi Diesel revamp as state highlights burden on farmers, rural communities

 

KOTA KINABALU, July 15 — Sabah expects revisions and improvements to the BUDI targeted diesel subsidy scheme within the next two to three weeks following engagement sessions between the state government and relevant federal ministries.

State Agriculture, Fisheries and Food Industry Minister Datuk Jamawi Jaafar said the issue was raised at a recent State Cabinet meeting after discussions with the Finance Ministry and the Domestic Trade and Cost of Living Ministry (KPDN) on the subsidy scheme’s impact on Sabahans.

“I presented a comprehensive report on how our farmers have been affected, how farm machinery has been impacted, how pickup truck owners have been affected, as well as young people who rely on pickup trucks and jeeps for work and business.

“The Chief Minister took the matter seriously and instructed the State Cabinet to invite the Ministry of Finance and KPDN to conduct briefing and engagement sessions with civil servants and government elected representatives,” he said.

Jamawi said the first session will be held on Friday at Menara Kinabalu with heads of state departments, while a second session involving government assemblymen will take place on Sunday.

He said the meetings are intended to give the federal government a clearer understanding of the realities on the ground since the BUDI Diesel scheme came into effect.

According to Jamawi, Sabah’s geography and long travel distances result in fuel consumption patterns that differ significantly from those in Peninsular Malaysia, requiring a more tailored approach to subsidy implementation.

“We are not the same as Peninsular Malaysia. Over there, a three-hour drive can take you across several states. In Sabah, you can drive for three hours and still not even reach the next district.

“That is why diesel and petrol usage in Sabah is different.

“We understand that subsidy leakages must be addressed, but the burden should not be shifted onto farmers, fishermen, food industry operators and young entrepreneurs simply because the authorities failed to curb leakages. That would not be fair to them,” he said yesterday in Ranau.

Earlier, Jamawi handed over assistance packages to two grazing fields in Ranau, including fencing materials, livestock feed and grass processing machines to improve the quality of animal feed.

Sabahans across the state have faced challenges under the new subsidy system, which is based on MyKad verification and registered vehicle ownership. Although the federal government has responded to some concerns by allowing subsidy quota transfers to immediate family members and approving additional quotas for eligible pickup truck and SUV owners, issues remain, particularly in rural areas where circumstances are often more complex.