PUTRAJAYA is expected to announce targeted petrol subsidies by early next year, said Deputy Finance Minister Amiruddin Hamzah.

“We are working as hard as we can to identify the best possible mechanism, hopefully by early next year,” he told reporters at the launch of the World Bank’s report on the Malaysian digital economy in Kuala Lumpur today.

The subsidies are expected to benefit owners of 125cc motorcycles and below, and 1200cc cars and below, he added.

Earlier today, Amiruddin told the Dewan Negara that the government does not plan to reduce the price of petrol to RM1.50 per litre, unless the global crude oil price drops to that level.

He added that such a plan was not in the Pakatan Harapan manifesto.

Amiruddin said the RON95 petrol subsidies cost the government RM1.67 billion in May and June.

The government maintains the retail prices of RON95 petrol and diesel at RM2.20 and RM2.18 per litre, respectively, which are lower than the actual market prices. – September 12, 2018.