PUTRAJAYA: The Domestic Trade and Cost of Living Ministry has conducted an audit on the cooking oil subsidy with the report expected to be completed in January.
Acting minister Datuk Armizan Mohd Ali said the audit began last month and it was done following the projection of an almost four-fold increase in cooking oil subsidy by the year's end to RM1.9 billion.
He said the initial budget for the cooking oil subsidy this year was RM500 million.
"However, with the increase in crude oil price, we are projecting an increase of almost four-fold.
"By year-end, the amount is projected to be at RM1.9 billion for cooking oil subsidy alone.
"For that, in October, we have started with a comprehensive audit programme on the implementation of the cooking oil subsidy at all levels, including at state- and district-level," he told a press conference after the launch of the Symposium on Cost of Living (SCOL 2023).
Armizan also acknowledged the leakages of subsidised cooking oil.
"There are findings (on leakages). Therefore, with this audit, we can determine the actual needs (for subsidised cooking oil) and how to better streamline the subsidy system.
"This subsidy is needed, but there is a need to reduce leakages and irregularities."
Asked how serious the situation is, Armizan said: "It is according to the locality and area. I will announce this later when the audit has been concluded.
"We aim to finish it by January and maybe at that time, the new minister will announce it."
He added there were calls by members of parliament (MPs) for the government to look into the matter.
"Among those who have been consistently raising the matter include Titiwangsa MP (Datuk Seri Johari Abdul Ghani)."