THE government will look at the redistribution of subsidies as the current system of blanket subsidies is benefiting conglomerates and the rich, said Prime Minister Anwar Ibrahim. 

In a statement after chairing the National Action Council on Cost of Living (Naccol), Anwar said these subsidies should be directed to those who need them the most, including those from the M40 and B40 groups, as well as small traders. 

“As an example, Tenaga Nasional Bhd has nearly 10 million customers but 10%, or 1 million, includes conglomerates who are enjoying over 50% of the electricity subsidy,” he said. 

“Government agencies must come up with a proper strategy and platform to implement targeted subsidies by taking into consideration both the needs of the recipients as well as the industries involved. 

“This is to ensure the implementation is smooth and effective,” he said.

The meeting this morning was attended by both deputy prime ministers, all relevant ministers, chief secretary to the government, and other top civil servants.

This is Anwar’s second meeting with the action council. Two weeks ago, he ordered all relevant government agencies to come up with ideas and suggestions on reducing the cost of living.

He said three papers were tabled and discussed at the meeting today. 

Anwar said the government is also looking at strengthening the livestock sector.

“The government intends to make it easier for those in this sector to export their products and ensure the livestock sector produces enough supply for domestic needs.

“This includes guaranteeing greater and targeted assistance, especially to local entrepreneurs.”

He added that Naccol also discussed intervention methods aimed at alleviating the shortage of goods in the country, which will be presented to the cabinet for a decision tomorrow. – December 13, 2022.