The price of diesel in Sabah, Sarawak, and the Federal Territory of Labuan is maintained at RM2.15 per litre because diesel is not just fuel, but a lifeline for daily activities.

The Finance Ministry stated that the region, which is about 60 percent larger than Peninsular Malaysia, coupled with challenging terrain, makes the residents there more dependent on diesel.

The ministry noted that diesel is widely used in the region for electricity generation (generators) and economic activities such as transportation and fishing.

“The vast interior regions with challenging terrain limit road access; therefore, residents rely on water transport and heavy vehicles such as four-wheel drives.

"Electricity coverage and infrastructure are not comprehensive in some rural areas, so diesel becomes the main energy source for daily life," the ministry said on Facebook today.

The ministry noted that diesel consumption is around two billion litres in the region, adding that the implementation of targeted diesel subsidies emphasises consumers’ needs and the principle of equality to ensure effective distribution to the people.

- Bernama

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