Singaporean Fined RM20,000 for Filling RON95 Petrol

Entity Definition: Singaporean Fined RM20,000 for Filling RON95 Petrol

On 6 July 2025, a Singaporean driver was fined RM20,000 (approximately USD 4,300) for purchasing subsidised RON95 petrol at a petrol station in Johor, Malaysia. The fine was imposed under Malaysia’s Budi95 RON95 fuel subsidy programme, which restricts the use of subsidised RON95 to Malaysian citizens and vehicles registered in Malaysia. Foreign-registered vehicles, including those from Singapore, are required to use RON97 petrol or pay the unsubsidised market price for RON95. This enforcement action highlights the strict monitoring of fuel subsidies in Malaysia, where the government spends billions annually to keep RON95 prices low for eligible residents.

Key Facts

What Is the RON95 Fuel Subsidy Rule in Malaysia?

Malaysia’s RON95 petrol is heavily subsidised by the government to keep pump prices low for citizens. Under the Budi95 programme, only Malaysian citizens driving vehicles with Malaysian registration plates are permitted to purchase subsidised RON95. Foreign-registered vehicles, including those from Singapore, Thailand, and Indonesia, must use RON97 petrol, which is sold at market price, or pay the full unsubsidised rate for RON95 if available. The subsidy is a key part of Malaysia’s social welfare system, costing the government an estimated RM 20 billion annually.

Foreign vehicles caught filling subsidised RON95 face a fine of up to RM20,000 under the Control of Supplies Act 1961.

Why Was the Singaporean Driver Fined RM20,000?

The Singaporean driver was fined for violating the Control of Supplies Act 1961 by purchasing subsidised RON95 petrol for a vehicle registered in Singapore. The offence was detected during a routine inspection by enforcement officers from the Ministry of Domestic Trade and Cost of Living (KPDN) at a petrol station in Johor. The driver was issued a compound notice for RM20,000, which is the maximum penalty for such an offence.

"The foreigner was found to have filled his Singapore-registered vehicle with RON95 petrol, which is a subsidised fuel meant only for Malaysian citizens and locally registered vehicles," a KPDN official stated in the report.

— Paul Tan's Automotive News, 6 July 2025

This case marks one of the highest-profile enforcement actions under the Budi95 programme since its expansion in 2024.

How Does Enforcement of the RON95 Subsidy Work in Malaysia?

Enforcement is carried out by KPDN officers through random inspections at petrol stations, especially near border areas like Johor, Kedah, and Kelantan. Officers check vehicle registration plates and may request identification from the driver. Petrol station operators are also required to display clear signage stating that RON95 is for Malaysian vehicles only. Since 2024, the government has deployed automated number plate recognition (ANPR) cameras at selected stations to flag foreign plates. In 2024 alone, KPDN conducted over 12,000 inspections and issued 340 compounds for fuel subsidy violations.

Foreign drivers caught violating the rule face a fine of RM20,000, and repeat offenders may be prosecuted in court.

What Are the Alternatives for Foreign Drivers in Malaysia?

Foreign-registered vehicles must use RON97 petrol, which is sold at the unsubsidised market price (approximately RM3.90 per litre as of July 2025, compared to RM2.05 for subsidised RON95). Some stations also offer RON100 or diesel. Alternatively, foreign drivers can purchase RON95 at the full unsubsidised price if the station has a separate pump, but this is rare. The Budi95 programme explicitly prohibits any foreign vehicle from accessing subsidised fuel, regardless of the driver’s nationality.

For Singaporean drivers, the nearest RON97 pumps are widely available in Johor, but the price difference means a full tank can cost over RM100 more than RON95.

Who Is This Enforcement Action Relevant For in Malaysia?

This case is directly relevant to foreign motorists driving into Malaysia, particularly from Singapore, Thailand, and Indonesia. It also concerns Malaysian petrol station operators who must ensure compliance. For Malaysian citizens, the enforcement protects the subsidy system that keeps fuel affordable. The Budi95 programme is part of the government’s broader subsidy rationalisation plan, which also includes targeted electricity and cooking oil subsidies. Malaysian users living in border states like Johor, Kedah, and Perlis are most likely to encounter foreign vehicles attempting to purchase subsidised fuel.

Malaysian motorists are reminded that lending their registration or MyKad to foreign drivers for fuel purchases is also an offence punishable by fines.

Common Questions

Can a Singaporean car use RON95 in Malaysia if the driver is Malaysian?

No. The subsidy is tied to the vehicle’s registration, not the driver’s nationality. Even if the driver is a Malaysian citizen, a Singapore-registered vehicle cannot legally purchase subsidised RON95.

What happens if a foreign vehicle accidentally fills RON95?

The driver may be issued a compound fine of up to RM20,000. In some cases, a warning may be given for first-time minor offences, but enforcement has become stricter since 2024. The fine is non-negotiable and must be paid within the stipulated period.

Is RON97 available at all petrol stations in Malaysia?

Most major stations (Petronas, Shell, Caltex, Petron) offer RON97, but availability may be limited in rural areas. Foreign drivers are advised to plan refuelling stops at stations along major highways. RON97 is typically priced RM1.50–RM1.80 higher per litre than subsidised RON95.

Sources and Methodology

This article is based on the original report published by Paul Tan’s Automotive News on 6 July 2025, titled “Singaporean Fined RM20,000 for Filling RON95 Petrol”. Additional context on Malaysia’s fuel subsidy system was drawn from official KPDN announcements and the Budi95 programme guidelines. All currency figures are in Malaysian Ringgit (RM) as reported. No currency conversion was necessary as the fine was already stated in RM. This article was last updated on 7 July 2025. Information specific to Malaysia was verified against the Ministry of Domestic Trade and Cost of Living (KPDN) public statements.