The government is drafting the subsidised diesel control system (SKDS) which is expected to be completed in the second half of this year, said Deputy Finance Minister I Datuk Seri Ahmad Maslan.

He said the government is also studying the implications of the potential increase in the cost of goods with the implementation of SKDS.

“The government will offer a different approach to small and medium enterprises to ensure that this sector is not affected by its implementation.

“However, everything is still under study and this system will only be completed in the second half of this year while its implementation date has not yet been set,” he said in a question and answer session at the Dewan Rakyat yesterday.

He was responding to a supplementary question from Khoo Poay Tiong (PH-Kota Melaka) who wanted to know the rationale for implementing the initiative and the mitigation steps to assist affected sectors.

Meanwhile, Ahmad Maslan said the government is exploring measures to improve the provision of subsidies in a more targeted manner to reduce leakages and optimise spending on programmes and projects that provide added value to the people and the country’s economy.

The objective is to balance the burden of subsidies with the need to preserve the welfare and well-being of the people, he said. — Bernama