By Karen Bong
KUCHING, March 17: The federal government has flagged the need for a careful review of the Subsidised Diesel Control Scheme (SKDS) to tackle the growing problem of fuel smuggling, particularly diesel, in Sabah and Sarawak.
Communications Minister Datuk Fahmi Fadzil said the government is examining whether to continue with the existing SKDS mechanism or to implement a new approach that is more effective in curbing illegal diesel trade.
“During the Enforcement Committee meeting addressing diesel smuggling in Sabah and Sarawak, a key focus was the need for a careful review of the SKDS mechanism, whether to maintain it or replace it with an alternative approach,” he said during a weekly press conference of the Ministry of Communications in Putrajaya which was streamed live on his social media platforms today.
Fahmi added that the meeting also focused on clarifying the roles of various enforcement agencies.
Under the proposed arrangements, the Ministry of Domestic Trade and Cost of Living (KPDN) will oversee enforcement on land, the Malaysian Maritime Enforcement Agency (APMM) will monitor maritime and riverine areas, while border zones will be under the jurisdiction of the Malaysia Border Control and Protection Agency (AKPS).
Fahmi also noted that the committee is actively addressing cases involving the misuse, diversion, and illegal sale of diesel.
During a visit to Sarawak on March 14, Prime Minister Datuk Seri Anwar Ibrahim urged the Sarawak and Sabah governments to fully cooperate with KPDN in efforts to curb diesel smuggling.
He pointed out that the lower diesel prices in Sabah and Sarawak compared to Peninsular Malaysia could encourage smuggling.
Anwar said the issue had been raised with Sarawak Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg, stressing the need to strengthen enforcement and ensure fuel subsidies are properly safeguarded.
He also assured that the Madani government would maintain the RON95 subsidy at RM1.99 per litre under the BUDI95 initiative, despite global oil prices exceeding US$100 per barrel due to the ongoing conflict in West Asia. — DayakDaily
