14th December 2022 - 2 min read
Prime Minister Datuk Seri Anwar Ibrahim has highlighted the necessity to reallocate blanket subsidies that are currently also benefitting those who are not in need, including wealthy individuals and conglomerates.
In a statement, the prime minister said that the subsidies provided by the government – such as electricity bill subsidies – are actually meant for the poor, and as such, should be targeted at groups that need them the most. These include those from the M40 and B40 income group, as well as small traders.
“As an example, Tenaga Nasional Berhad has nearly 10 million customers, but 10% or one million – including conglomerates – [are the ones] who are enjoying over 50% of the electricity subsidy,” said Datuk Seri Anwar, who is also the Finance Minister. He further emphasised that it is the government’s priority to ease the burden of the people, especially considering the rise in prices of goods and cost of living.
Given the circumstance, Datuk Seri Anwar has directed all government departments to design and develop appropriate approaches that allow the implementation of targeted subsidies. In doing this, they must also strive to ensure a smooth and efficient process, as well as take into consideration the interests of consumers and the industries.
For context, Datuk Seri Anwar had earlier instructed the National Action Council on Cost of Living (NACCOL) – which was established back in 2018 – to analyse the implications of the subsidies that are currently being provided. The results of their analysis were presented in the NACCOL meeting yesterday, and will be used by the Cabinet to help review the comprehensive policy related to the subsidies.
(Source: Free Malaysia Today)
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