Responding to a picture of a Singapore-registered vehicle being filled up with RON95 petrol that has gone viral, the domestic trade and consumer affairs ministry said aggressive enforcement action will be taken to nab such offenders.
In a statement, minister Alexander Nanta Linggi said the enforcement division had been instructed to trace the Singapore vehicle.
He said those flouting the 2010 ban on such sales could be fined a maximum of RM1 million or jailed for up to three years. Companies face a maximum penalty of RM2 million.
These offences come under the Control of Supply Act 1961 (Act 122) and (Control of Supply Regulations 1974).
Nanta said the enforcement officers from his ministry would also ensure high compliance by petrol traders following the full reopening of the economic sectors and borders from last Friday.
“The ministry takes this issue seriously.”
He has ordered more aggressive monitoring to be conducted at all petrol stations, especially those in towns close to the Singapore and Thailand borders to prevent the sale of subsidised petrol to foreign vehicles.
“The ministry has issued instructions to all oil companies and gas station operators near the borders to ensure compliance with the ban.
“The public is encouraged to make complaints and report to the ministry if subsidised petrol is being sold to the wrong parties.”
These foreigners are supposed to fill up with the more expensive RON97 fuel.
Earlier today, Petrol Dealers Association of Malaysia (PDAM) president Khairul Annuar Abdul Aziz said kiosk operators did not have sufficient manpower to monitor the purchase of RON95 by foreign-owned vehicles.
He told FMT that it would be too costly to constantly monitor all vehicles at petrol stations purchasing RON95, which is subsidised heavily by the government to keep it at RM2.05 a litre for Malaysians despite soaring prices in the oil market.
Former prime minister Najib Razak had taken to Facebook to urge local authorities and petrol stations to ensure foreigners did not purchase RON95.
He said the subsidy for every litre of RON95 petrol is around RM1.70.
“If foreigners fill 40 litres of RON95, the government will lose RM68 of the people’s money to foreigners,” he said.