Not all T15 are “maha kaya”; threshold for targeted RON95 subsidy should be RM30,000 instead – Sibu MP

The term “T15” has been a major talking point in the wake of the government’s decision to slash RON95 petrol subsidies for the country’s top 15% of earners by the middle of next year. There’s been a lot of contention regarding the income threshold for those who fit this bracket, which prime minister Anwar Ibrahim called “maha kaya” during the tabling of Budget 2025 earlier this month.

Not surprising, given that nobody wants to be paying more for fuel – and Sibu MP Oscar Ling has now called on the government to revise the said threshold to include only households earning more than RM30,000 per month in the T15 bracket. This change is needed, he said, to take into account the rising cost of living due to inflation, The Star reported.

“I believe the definition of high-income earners should be realigned, and it would be more appropriate if those earning over RM30,000 are classified as such,” he said when debating the Supply Bill 2025 in the Dewan Rakyat yesterday.

Ling added that current economic conditions, especially inflation, must be considered when categorising these household income groups. “With the high cost of education in private institutions and rising healthcare costs, categorising those earning below RM30,000 as high income would place an undue burden on them,” he said.

He urged the government consider how the high cost of living affects different income brackets, in particular those who earn just short of the RM30,000 mark who might struggle to cope with educational and healthcare expenses without the subsidies.

This comes after MCA president and Ayer Hitam MP Wee Ka Siong raised a similar issue on TikTok, saying it was unfair to categorise those in the T15 bracket as “ultra rich” based solely on their household earnings, given that some may not be millionaires and may not even be particularly wealthy.

“Take, for example, a married couple who are both teachers at the DG48 level, having taught for 15 years, with a combined income of around RM14,000 a month,” he said. “They own a house, two cars and have three children. Similarly, a couple who are both civil servants or PTD officers are also classified as T15 ultra-wealthy. Is this logical?”

Wee added that those working in statutory bodies or government-linked companies (GLCs) – where salaries are usually higher than in the government sector – could also be classified as T15. Based on the Household Income Survey and Household Income and Expenditure Survey in the open data system by the Statistics Department, T15 is defined as having a household income of RM13,925 and above as of 2022. Wee instead advocated targeting RON95 subsidies based on how expensive the vehicle is.

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