SKDS diesel subsidy eligibility expanded to private company jeeps and pickups

Applications opened on 3 July 2026, with approved vehicles eligible for subsidised diesel from 15 July through the fleet card system.

The government has expanded eligibility under the Subsidised Diesel Control System (SKDS) to include private company-owned jeeps and pickup trucks.

The new category, classified under the Land Transport Sector — Private Companies: Jeeps and Pickups, is aimed at supporting micro and small traders registered as sole proprietorships or partnerships.

Applications for the new category opened on Friday, 3 July 2026, while subsidy eligibility will take effect from 15 July 2026, subject to approval and ownership of an SKDS fleet card.

With the inclusion of private company jeeps and pickups, SKDS now covers 35 vehicle types and use classes. The newly added category joins the two existing SKDS sectors, namely:

• Land Transport Sector — Public
• Land Transport Sector — Consumer goods

Through SKDS, eligible business entities, companies, and cooperatives receive subsidised diesel via the fleet card mechanism. Approved vehicles are given fixed quota rates based on vehicle body type, use class, and technical category.

To qualify under the newly expanded category, vehicles must meet the following conditions:

• The vehicle must be registered as a business vehicle under the Company Private Use Class/Code AE in the Road Transport Department’s JPJ MySikap System, and
• The vehicle must be owned by a business registered as a sole proprietorship or partnership with the Companies Commission of Malaysia (SSM), or through local authority registration in Sabah and Sarawak.

Eligible business owners are encouraged to submit their applications through the MySubsidi portal.

Diesel subsidy distribution in Malaysia is currently managed through several targeted mechanisms. These include BUDI Diesel for individuals and BUDI Agri-Commodities for farmers, breeders, and smallholders, both regulated by the Ministry of Finance.

READ MORE: Diesel subsidy: Sabah, Sarawak, and WP Labuan land transport vehicles urged to register under SKDS immediately 

Lead image / Ministry of Domestic Trade and Cost of Living