T15 classification to be announced by Q1 next year

T15 classification to be announced by Q1 next year

Putrajaya is working on a two-tier price system for RON95 fuel so that the wealthiest 15% pay the market rate while the remaining 85% enjoy the current subsidised price.

rafizi ramli
Economy minister Rafizi Ramli says individuals excluded from receiving subsidies will be able to appeal the decision.
PETALING JAYA:
The government will announce the T15 income classification, which will identify those to be excluded from targeted subsidies, by the first quarter of 2025.

Economy minister Rafizi Ramli told the Dewan Rakyat that individuals excluded from receiving subsidies would have the opportunity to appeal the decision, reported Bernama.

“There will be a mechanism for appeals, so this needs to be implemented first before they (targeted RON95 subsidies) are applied at petrol stations later.

“That is why we’ll use the first half of 2025 to complete the classification first,” he said.

Rafizi was answering a question from Radzi Jidin (PN-Putrajaya) regarding the timeline for the T15 income classification announcement.

It was previously reported that the government is working on a two-tier price system for RON95 fuel so that the wealthiest 15% pay the market rate while the remaining 85% enjoy the current subsidised price. The move is expected to save the government RM8 billion a year.

On Oct 28, Rafizi said his ministry was expecting to finalise the details surrounding the T15 income group in a month before tabling it to the Cabinet for approval.

He also said the T15 income group would likely be determined based on locality rather than a national definition as in previous policies.

Prime Minister Anwar Ibrahim, when tabling the 2025 budget on Oct 18, said several subsidies would be withdrawn for the T15 income group.

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.

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