Malaysia to open BUDI95 pathway for citizens holding Singapore driving licences

awrghah.jpg

Since 30 September 2025, many Malaysians have utilised the BUDI95 programme. However, this also created a new problem: Malaysians residing in Singapore are effectively locked out. With this, the Malaysian government will create a new pathway to allow citizens holding Singapore driving licences to access the BUDI95 fuel subsidy.

 

Why Some Malaysians Were Excluded

Currently, Malaysians who are required by their job in Singapore to hold a Singapore driving licence are excluded from the BUDI95 scheme. This is because Singapore law prohibits dual licence holdings; these individuals must surrender their Malaysian licence to operate in Singapore.

This put them in a gray area: they live in Malaysia, drive Malaysian-registered vehicles, but can’t tap into the petrol subsidy. Transport Minister Anthony Loke confirmed that the matter was raised in Cabinet and approved in principle: these workers will be recognised as eligible citizens despite their unique licence situation.

 

Technical Hurdles and Solutions in the Works

One major obstacle is that Singapore’s Land Transport Authority (LTA) does not share personal licence data due to privacy laws, so the Malaysian government can’t automatically verify them. To address this, the Road Transport Department (JPJ) is building a dedicated online registration system for Malaysians with Singapore licences. Loke says it will take “one or two weeks” to prepare, after which the registration process will be announced.

 

What Stays the Same

Even with this change, the ban on subsidised fuel for foreign-registered vehicles remains unchanged. Loke reiterated that regardless of who drives them, foreign cars cannot use subsidised RON95 — they must use RON97. He also noted that although the number of Malaysians holding Singapore licences is unclear, 200000 to 250000 people cross the Johor–Singapore border daily, indicating potentially significant eligibility expansion.

 

Other Reminders

By the way, Malaysians should also verify and align their MyKad and driving license data to avoid disqualification. A joint analysis by MoF and the Ministry of Transport (MoT) revealed that many driving licenses still use outdated formats—military IDs, police numbers, or old ICs—that don’t match the 12-digit MyKad format. Users are advised to update their license data at the nearest JPJ office or use the budimadani.gov.my portal for a quick eligibility check and further instructions.

Additionally, both Setel and Touch 'n Go eWallet have announced last week that Malaysian users can utilise the BUDI95 program within the apps. To read more on how to use the apps for the program, you can check out our news coverage in the links below:

 

Stay tuned for more trending tech news at TechNave.com.