Zakirin
Motorists across Malaysia will see a slight reprieve at the pumps this week. For the pricing period of September 3 to 9, 2026, the Ministry of Finance has announced an across-the-board reduction of 5 sen per litre for all unsubsidised fuel grades.
This latest adjustment—the 37th weekly update of 2026 and the 400th since the automated pricing mechanism began in 2019—brings retail costs down by just over 1% for standard petrol and diesel. However, for the majority of Malaysian drivers, the broader story remains the government’s heavily insulated subsidy framework, which just saw a significant expansion in its monthly volume caps.
Here is the breakdown of the latest pump prices and how the current subsidy mechanisms are shielding everyday consumers.
The Unsubsidised Market: 5 Sen Cheaper
For foreign drivers, non-eligible commercial users, and those exceeding their monthly quotas, the new weekly float prices are as follows:
- RON 95: RM3.77 per litre (down from RM3.82)
- RON 97: RM4.25 per litre (down from RM4.30)
- B10/B15 Diesel: RM4.67 per litre (down from RM4.72)
- Euro 5 B7 Diesel: RM4.87 per litre (maintaining its standard 20-sen premium over regular diesel)
The Subsidised Market: Expanding the Safety Net
While the open market fluctuates, the government’s targeted Budi Madani subsidy schemes continue to lock in vastly lower prices for eligible citizens.
Most notably, as of September 1, the government has restored and expanded the monthly fuel quotas for these subsidized rates, providing more breathing room for frequent drivers.
1. Budi Madani RON 95 (Budi95) The price of subsidised RON 95 remains firmly fixed at RM1.99 per litre. Any Malaysian holding a valid driving licence is eligible for this rate. Crucially, the monthly allocation for this heavily discounted fuel has been bumped back up to 300 litres per month, an increase from the previous 200-litre cap.
2. Subsidised Diesel For eligible diesel vehicle owners, the subsidized retail price remains locked at RM2.10 per litre. These users share the newly expanded 300-litre monthly quota with the Budi95 scheme. However, to accommodate the heavier demands of commercial and agricultural use, private owners of diesel pick-up trucks and jeeps can apply for an additional 100-litre allowance. This brings their total subsidized cap to a generous 400 litres per month.
These prices take effect from midnight on Wednesday, September 3, 2026.
