PUTRAJAYA: July 1, 2026 – The Ministry of Domestic Trade and Cost of Living has fully revoked the directive imposing controls on diesel sales to land transport vehicles previously in force in Sabah, Sarawak and the Federal Territory of Labuan, effective today.
The decision ends the diesel purchase quantity limits of 50, 100 and 150 litres introduced under the directive dated March 27, 2026.
KPDN Enforcement Director-General Datuk Azman bin Adam said the revocation follows the Prime Minister’s announcement on June 21 regarding the alignment of subsidised diesel prices under the BUDI Diesel programme to RM2.10 per litre, and the implementation of a new mechanism for purchasing subsidised diesel using MyKad at petrol stations, also effective July 1, 2026.
All retail scheduled controlled goods licence holders selling petrol or diesel in the three territories are required to note that the diesel sales control directive for land transport vehicles no longer applies from that date.
Azman stated that the ministry is confident the new mechanism will ensure more targeted, efficient and effective distribution of subsidised diesel, while simplifying procedures for eligible consumers to access the subsidy.
He urged all parties to fully comply with the new directive and mechanism to ensure smooth implementation in the interest of the public and the nation.
