Malaysia Fuel Price Glossary

APM (Automatic Pricing Mechanism)

The formula Malaysia has used since 1983 to calculate weekly retail prices for RON 97 and diesel. It combines the MOPS product price, operating costs, transport costs, retail margins and taxes/duties.

Read more: The APM formula explained

MOPS (Mean of Platts Singapore)

The average of daily assessed prices for refined petroleum products (petrol, diesel) traded through the Singapore hub, published by S&P Global (Platts). It is Asia's main fuel benchmark and makes up roughly 70–80% of Malaysia's pump price.

Read more: What is MOPS?

RON (Research Octane Number)

A measure of a fuel's resistance to premature ignition (knocking) in an engine. RON 97 withstands higher compression than RON 95, but adds no power to ordinary engines designed for RON 95.

Read more: RON 95 vs RON 97

BUDI 95 (Bantuan Untuk Diri Individu)

Malaysia's targeted RON 95 subsidy since September 2025. Malaysian citizens with a MyKad and an active JPJ driving licence pay a fixed subsidised price (RM 1.99/litre) for personal vehicles — eligibility is based on citizenship and a licence, not income.

Read more: Full BUDI 95 guide

BUDI Diesel

The targeted diesel subsidy for individuals since 1 July 2026: eligible Malaysians pay RM 2.10/litre nationwide via MyKad verification. Its quota is shared with BUDI 95 (200 litres a month).

Read more: How to get BUDI Diesel

Kuota 200 Liter

Each eligible individual's monthly subsidised-fuel allocation: 200 litres a month, shared between RON 95 (BUDI 95) and diesel (BUDI Diesel). Once used up, further litres are at market price; unused balance does not carry over.

Read more: How to check your balance

SKPS (Sistem Kawalan Petrol Subsidi)

The scheme that lets eligible commercial petrol vehicles (taxis, buses, lorries, vans — 21 categories) buy RON 95 at RM 2.05/litre via MySubsidi registration and a Fleet Card.

Read more: How to apply for SKPS

SKDS (Sistem Kawalan Diesel Subsidi)

The subsidised-diesel scheme for registered commercial vehicles: RM 2.15/litre via a Fleet Card, with quotas approved according to operational needs. Since 1 July 2026 it applies nationwide including Sabah and Sarawak.

Read more: BUDI Diesel vs SKDS

Kad Armada (Fleet Card)

A card from a fuel company (Petronas, Shell, Petron, Caltex, BHP) that delivers the SKPS/SKDS subsidy to approved commercial vehicles. The subsidy is not given as cash at the pump — it is charged through this card.

Pengesahan MyKad

The petrol-station counter mechanism: insert your MyKad into the card reader to verify BUDI 95/BUDI Diesel eligibility in real time before paying. No separate physical card or registration is needed for the basic quota.

Harga Runcit Mingguan

The fuel ceiling price announced by the Ministry of Finance every Wednesday evening, effective from Thursday 12:01 AM through the following Wednesday. Identical at every station and brand in Malaysia.

Read more: Weekly price archive

Managed Float (Apungan Terurus)

The pricing system since December 2014 where fuel prices adjust to the market (now weekly) instead of being fully blanket-subsidised. RON 97 and diesel follow it; RON 95 is instead target-subsidised via BUDI 95.

Read more: Fuel price history

Crack Spread (Margin Penapisan)

The difference between crude oil prices (e.g. Brent) and finished-product prices like petrol or diesel. When the crack spread widens, pump prices can rise even while crude falls.

KPDN

Malaysia's Ministry of Domestic Trade and Cost of Living — the ministry that enforces fuel price regulations, subsidy controls (including the RON 95 ban for foreign-plated vehicles) and anti-smuggling operations.

LMM (Lesen Memandu Malaysia)

The JPJ driving licence that is one of the BUDI 95/BUDI Diesel eligibility requirements — including competent (CDL), probationary (PDL/P) and learner (LDL/L) licences.

LKM (Lesen Kenderaan Motor / Cukai Jalan)

The vehicle road tax. For BUDI Diesel, the diesel vehicle must be registered in the individual's name with a valid road tax for the owner to qualify for the subsidised price.