Caltex and Petron Begin Goodwill Compensation For Motorists Affected By Contaminated RON95 Petrol

KUALA LUMPUR, Nov 5  – Petron and Chevron (operator of the Caltex brand) have initiated goodwill compensation payments to motorists whose vehicles suffered engine damage linked to contaminated RON95 petrol.

Domestic Trade and Cost of Living Minister Datuk Armizan Mohd Ali informed the Dewan Rakyat on Thursday, November 5, 2026, that customer recovery programs were launched on a goodwill basis for verified claims while comprehensive investigations remain underway.

“Caltex and Petron have initiated customer recovery programmes offering compensation on a goodwill basis based on established criteria, without any admission of wrongdoing or liability at this stage,” Armizan stated during the Minister’s Question Time (MQT). “Payments will be made to customers who have submitted complete complaints with valid supporting documents.”

The minister was addressing interpellations from Member of Parliament Abdul Latiff Abdul Rahman (PN-Kuala Krai) regarding test findings from the Chemistry Department, fuel quality restoration measures, and compensation for affected vehicle owners.

Armizan revealed that preliminary laboratory analysis on 43 petrol samples conducted by the Chemistry Department found no evidence of water contamination. An initial report dated October 29 showed water content below 0.05 per cent, which represents the laboratory’s minimum reportable detection limit.

“The remaining samples are still being analysed, and a full report will be issued once the department completes its tests,” Armizan noted. “The immediate focus was on detecting water contamination, but none has been found so far. We are now examining the possible presence of other foreign substances and the fuel formulation during the period concerned.”

Since initial complaints surfaced on October 3, 2026, enforcement officers have collected 262 RON95 fuel samples across eight states and three oil company depots. Both oil companies have also dispatched independent samples to local and overseas laboratories for advanced chemical testing.

Armizan noted that while findings remain inconclusive, the issue appears localized to specific supply periods and locations—primarily in Kedah and Penang—rather than affecting the overall nationwide supply chain. Several affected petrol stations currently remain closed.

To prevent recurrence, the ministry is benchmarking Malaysia’s fuel quality standards and supply chain monitoring practices against regulatory frameworks in Singapore, the United Kingdom, and Australia.

Motorists seeking recourse beyond goodwill payments may lodge formal complaints with KPDN, initiate civil legal actions, or submit claims to the Tribunal for Consumer Claims Malaysia.

Investigation Parameters, Sample Metrics, and Consumer Recourse

Key investigative metrics, chemical testing parameters, and dispute resolution channels include:

• Goodwill Compensation Terms: Initiated by Petron and Caltex for verified claims with complete documentation, without admission of legal liability.
• Chemical Test Results: 43 initial samples tested showing water content below 0.05% detection limits; ongoing testing examining non-water foreign substances and chemical formulations.
• Sample Distribution: 262 total samples collected across 8 states and 3 oil depots since Oct 3, 2026.
• Affected Regions: Complaints concentrated in specific stations across Kedah and Penang.
• International Regulatory Benchmarking: Standards evaluation against Singapore, United Kingdom, and Australia.
• Legal Avenues: Complaints via KPDN, civil suits, or claims filed with the Tribunal for Consumer Claims Malaysia.

–NMT