‘T15’ threshold may be raised to above RM13,000, says Anwar

‘T15’ threshold may be raised to above RM13,000, says Anwar

The prime minister says it is felt that the statistics department's figure of 'around RM13,000' may be too low.

ron 95
Prime Minister Anwar Ibrahim said RON95 fuel subsidy rationalisation will mean that those in the T15 group and foreigners will have to pay market prices once the system is in place by mid-2025.
KUALA LUMPUR:
Prime Minister Anwar Ibrahim says the “T15” income threshold might be set higher than RM13,000 per household.

He told the Dewan Rakyat that while statistics department data suggests that the T15 income threshold is RM13,000 per household, the limit should be set at a higher amount.

“The quantum is currently under review because we feel that the statistics department’s figure of around RM13,000 may be too low,” said Anwar, who is also the finance minister.

“The finance ministry and the economy ministry plans to increase this threshold so it does not unduly burden families,” he said, adding that the figure could be set at RM15,000 or RM20,000.

He was responding to a question from Khoo Poay Tiong (PH-Kota Melaka) about the definition of the T15 group in the context of targeted subsidies for RON95 fuel.

Anwar said RON95 fuel subsidy rationalisation will mean foreigners and those in the T15 group will have to pay market prices once the system is in place by the middle of next year.

He said several subsidies will be withdrawn for the newly defined T15 group.

Currently, households with a monthly income of RM5,250 and below are classified as B40. Households are classified as M40 if they have an income of between RM5,251 and RM11,819 a month, while households with a monthly income of RM11,820 and above are categorised as T20.

Various parties have since urged the government to clarify which households would be considered T15 and review the classification of household income to ensure that targeted subsidies help the right groups.

Yesterday, economy minister Rafizi Ramli said details surrounding the T15 income group are expected to be finalised in a month before it is tabled to the Cabinet for approval.

Rafizi said the T15 group will likely be determined based on locality rather than a national definition as in previous policies.

Anwar tabled the 2025 budget proposals on Oct 18.

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