Business · Malaysia Bureau
Ministry mulls action against Nibong Tebal petrol station over subsidy breach
The Ministry of Domestic Trade and Cost of Living is considering suspending or revoking the operating licence of a Nibong Tebal petrol station following the discovery of RM270,000 in subsidy misuse.
LSN Malaysia ·
KUALA LUMPUR — Authorities have initiated disciplinary proceedings against a petrol station in Nibong Tebal after an investigation uncovered significant irregularities in fuel subsidy handling, according to ministry officials on Tuesday.
The Ministry of Domestic Trade and Cost of Living (KPDN) confirmed that RM270,000 in subsidised fuel allocations were misused at the outlet, prompting the ministry to consider suspension or revocation of the station's operating licence.
The discovery forms part of ongoing efforts by the ministry to ensure compliance with subsidy regulations across the retail fuel sector. Officials have indicated that the decision on whether to suspend or revoke the licence will be made following a formal review process.
The incident underscores mounting concerns about subsidy management in the downstream petroleum sector, with authorities emphasising their commitment to maintaining the integrity of fuel assistance programmes designed to benefit Malaysian consumers.
The ministry has not disclosed additional details regarding the nature of the misuse or whether further enforcement action is anticipated.