Efforts to Ensure Targeted Assistance to Lower-Income Groups
The government has made a significant move to abolish toll exemptions during festive seasons, a decision that is expected to generate an annual savings of RM190 million. Works Minister Alexander Nanta Linggi revealed this during a press conference, stating that the move will enable a more targeted approach to channel subsidies towards lower-income groups.
A More Targeted Approach
The decision to abolish toll exemptions was made at a Cabinet meeting last year, and Nanta emphasized that the government is fine-tuning its policies to ensure that assistance is directed towards those who truly need it, particularly the B40 group. This group refers to individuals with a household income of RM3,000 to RM4,000 per month.
SOS Balance by Touch n’ Go
Nanta was speaking after the launch of SOS Balance by Touch n’ Go, a new feature that allows TNG eWallet users to pass through tolls despite insufficient balance, offering a 24-hour grace period to reload their eWallets. This initiative aims to provide a more targeted approach to assisting lower-income individuals.
Rethinking Subsidies
Nanta noted that the practice of providing a blanket toll exemption was introduced as a temporary measure during the Covid-19 pandemic in 2022 and is no longer applicable. The government is working with the finance and economy ministries to develop more precise subsidy measures aimed at helping the lower-income groups.
"We will adjust policies from time to time to align with current needs. The focus is now on targeted aid rather than blanket subsidies," Nanta said. He emphasized that subsidies should not benefit all indiscriminately, including higher-income individuals who do not require such assistance.
Multi-Lane Free Flow Traffic Project
Nanta also touched on the multi-lane free flow traffic project, stating that the government has been refining the system and gathering information from industry players since December. Last month, Deputy Works Minister Ahmad Maslan announced that a Cabinet paper outlining the direction to be taken for the project would be presented for approval in January.
Conclusion
The government’s decision to abolish toll exemptions during festive seasons is a significant step towards ensuring targeted assistance to lower-income groups. This move is expected to generate annual savings of RM190 million and will enable a more targeted approach to channel subsidies towards those who truly need it. The government’s commitment to refining its policies and developing more precise subsidy measures is a welcome step towards ensuring that assistance is directed towards those who require it most.
Frequently Asked Questions
Q: Why did the government decide to abolish toll exemptions during festive seasons?
A: The government decided to abolish toll exemptions during festive seasons to ensure a more targeted approach to channel subsidies towards lower-income groups.
Q: What is the expected annual savings from this decision?
A: The decision is expected to generate an annual savings of RM190 million.
Q: What is the focus of the government’s new approach to subsidies?
A: The focus is now on targeted aid rather than blanket subsidies, with the aim of assisting lower-income groups.
Q: What is the current status of the multi-lane free flow traffic project?
A: The government has been refining the system and gathering information from industry players since December, and a Cabinet paper outlining the direction to be taken for the project will be presented for approval in January.