I welcome and support the decision by the Prime Minister, Anwar Ibrahim, to maintain the diesel subsidy for Sabah and Sarawak at RM2.15 per litre, even as prices have risen to RM5.52 per litre in Peninsular Malaysia.
This decision shows a clear understanding of the situation in Sabah and Sarawak. Our geography, infrastructure gaps, and logistical challenges mean that diesel is not a choice, but a necessity, especially in rural and interior areas where people rely on diesel-powered transport.
Maintaining the subsidised price should not be viewed as a “privilege”, but as a necessary measure to reflect the different realities faced in Sabah and Sarawak. In Sabah and Sarawak, higher transport costs already lead to higher prices for goods and services. Any increase in fuel prices would directly affect daily life, including households, small businesses, and local economic activities.
The Prime Minister has stated that diesel subsidies for Sabah and Sarawak were RM2 billion in 2025 and have increased to RM4.6 billion this year. This reflects the MADANI Government’s commitment to ensuring balanced and inclusive development across all regions.
We must also note that the ongoing conflict in Middle East continues to affect global energy supply, especially along key routes such as the Strait of Hormuz. I appreciate the Prime Minister’s diplomatic engagement with the Iran’s President Masoud Pezeshkian, which has allowed Malaysian ships to pass through safely. This shows Malaysia’s proactive approach in dealing with current uncertainties.
While the subsidy provides important support, it also reminds us that the cost of living is closely linked to global developments. As the situation remains uncertain, we should stay aware and be prepared for possible changes in energy prices.
This policy should not be politicised. It is part of a broader national effort to address regional differences and ensure fair development. Stability in Sabah and Sarawak is important to the strength and unity of Malaysia as a whole.