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SKDS 2.0 pilot project to begin tomorrow — Minister

6 Mar 2024, 9:38 AM
SKDS 2.0 pilot project to begin tomorrow — Minister
SKDS 2.0 pilot project to begin tomorrow — Minister

DENGKIL, March 6 — The Subsidised Diesel Control System 2.0 (SKDS 2.0) for land transport, which starts tomorrow, will involve five oil companies and nine types of vehicles, said Domestic Trade and Cost of Living (KPDN) Minister Datuk Armizan Mohd Ali.

The nine vehicle types are general cargo lorries, bottled drinks lorries, refrigerated lorries, Luton lorries, prime movers, flour tankers, water tankers, and panelled window vans.

Vehicle operating companies can submit an application via the KPDN MySubsidi Diesel system at https://mysubsidi.kpdn.gov.my/ starting at 9am tomorrow.

[caption id="attachment_346526" align="alignleft" width="416"] Domestic Trade and Consumer Affairs (KPDN) Minister Datuk Armizan Mohd Ali speaks during a Consumer Empowerment Initiative dialogue session in Putrajaya, on February 20, 2024. — Picture via FACEBOOK/KPDN LAMAN RASMI[/caption]

He said there are two levels of application, namely to KPDN for the purpose of authorisation and to the oil company for the issuance of the fleet card.

"Once approved, they can apply for the card from five oil companies of their choice, be it Petronas, Shell, Caltex, BHP, or Petron," Armizan said during a press conference when announcing the expansion of the SKDS 2.0 pilot project and opening the Kedai Kampung Fresh Market Sdn Bhd today.

The KPDN application approval takes between one and two days, while the issuance of the fleet card by the oil companies is estimated to take two to four weeks.

"We hope all companies will start applying tomorrow so we can ensure the Fleet Card can be used from April 1 onwards," he said.

In terms of future planning for the SKDS 2.0 pilot project, KPDN and the Finance Ministry (MoF) are looking at the need to expand the pilot project to other suitable land transport sectors (goods), to tackle the risk of leakage and smuggling of subsidised diesel more efficiently and effectively.

"This digital method can help reduce the cost of inspection and enforcement, which is done physically as we have deployed about 2,200 enforcement personnel so far," Armizan said.

The SKDS 2.0 for land transport, a KPDN pilot project to be implemented for two months starting today, aims to provide a mechanism for the retargeting of diesel subsidies.

The mechanism of using the Fleet Card is one of the government's efforts to switch from the Analog Skid Tank System to the Fleet Card to ensure that targeted subsidies can be implemented in an integrated manner.

It also aims to ensure cases of leakage and smuggling are kept to a minimum.

— Bernama

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