PUTRAJAYA, April 2- In a significant move to manage a deepening national energy crisis, the Malaysian Cabinet has mandated Work From Home (WFH) arrangements for all government ministries, agencies, statutory bodies, and government-linked companies (GLCs) starting April 15.
Prime Minister Datuk Seri Anwar Ibrahim announced the directive during a special televised address, citing the urgent need to reduce domestic fuel consumption and safeguard the country’s energy sustainability. The move comes as the ongoing conflict in the Middle East and the closure of the Strait of Hormuz, a critical global oil chokepoint send shockwaves through international energy markets.
Anwar, who also serves as Finance Minister, revealed that the Treasury is currently spending RM4 billion per month to absorb the surge in global crude oil prices. This is a staggering increase from the RM700 million spent in January 2026, before the escalation of the West Asia conflict. “This is no small feat,” PM Anwar stated, noting that the subsidy is essential to protecting Malaysian households from hyperinflation. However, he warned that the government’s ability to maintain this level of spending is “surely limited,” especially as global Brent crude prices have frequently exceeded US$100 per barrel in recent weeks.
Despite the fiscal pressure, the government has managed to keep the subsidized price of RON95 petrol at RM1.99 per litre for the time being. This makes Malaysia a regional outlier, as neighboring Southeast Asian nations have allowed pump prices to rise in tandem with global trends.
To stretch the available supply, the government recently adjusted the BUDI95 eligibility quota:
- Previous Limit: 300 litres per month.
- New Limit (Effective April 1): 200 litres per month for eligible citizens.
- Exceptions: E-hailing operators maintain an 800-litre monthly cap to protect the gig economy.
The Prime Minister emphasized that Malaysia is not “exempted” from the worsening global supply chain fallout. He confirmed ongoing discussions with leaders from Iran, Saudi Arabia, and Indonesia’s President Prabowo Subianto, all of whom anticipate the regional situation will deteriorate before any recovery begins.
In response, Malaysia is actively diversifying its oil and gas import sources and working closely with Petronas to guarantee supply through at least May 2026. PM Anwar also issued a stern warning against the spread of “fake news” regarding fuel and electricity price hikes, noting that authorities will clamp down on misinformation that causes public panic. “We must accept that these are unprecedented times,” PM Anwar concluded. “If the situation worsens, we must act accordingly to ensure the security of our nation.”
