In a written parliamentary reply, it said this is to prevent the government from continuing to bear higher subsidies.

“To continue protecting consumers from the effects of crude oil increase in the global market, the government has been maintaining the ceiling price for RON95 petrol and subsidised diesel until now even though the real market price has exceeded the set limit,” it said.

The ministry was responding to a question from Nik Zawawi Salleh (PAS-Pasir Puteh) about the government’s plans related to the restructuring of petrol subsidies.

It said the government was exploring measures to improve the provision of subsidies in a more targeted manner to reduce leakages, while continuing to look after the welfare and well-being of the people.

It also said that savings from cutting subsidies could be used for programmes and projects that added more value to the national economy.