NO HIKE IN ELECTRICITY TARIFF IN PENINSULAR FOR NEXT 3 YEARS
KOTA KINABALU: The current electricity tariff rates in Peninsular Malaysia will be maintained for the next three years, while the rates in Sabah and Labuan will remain unchanged until June.
The rates in Peninsular Malaysia stand at 38.53 sen per kilowatt-hour (sen/kWh) and 34.52sen/kWh in Sabah and Labuan.
Energy, Green Technology and Water Minister Datuk Seri Dr Maximus Ongkili said the electricity tariff schedule would come into effect next Monday.
“The cabinet had agreed that the government would bear the electricity tariff rebates of 1.80sen/kWh (in the peninsula) amounting to RM929.37 million for the period of Jan 1 to June 30 next year.
“Sabah and Labuan consumers will enjoy electricity tariff rebates of 1.20sen/kwh throughout the period,” he said yesterday.
“Although consumers will not experience any changes in the tariff schedule for the period of 2018 to 2020, they will continue to receive reliable electricity supply along with more advanced infrastructure development initiatives and support programmes by Tenaga Nasional Berhad.”
These include the development of the Advanced Metering Infrastructure with the installation of 1.5 million smart metres, starting with major urban areas of the peninsula.
There will also be development of fiber optic networks, as well as installation of LED street lights in major cities to promote energy-efficiency best practices.
TNB, in its statement yesterday, said the government had agreed to fund RM929.37 million for the subsidy and rebate of 1.80sen/kWh from
Jan 1 to June 30.
This includes a 0.28sen/kWh of surcharge from additional cost of (electricity) generation and 1.52sen/kWh to continue the current Imbalance Cost Past Through (ICPT) rebate for customers.
“The government has approved RM6.3 billion of rebates to customers in the peninsula over the period of March 2015 to June next year,” it added.
ICPT is a mechanism approved by the government and has been implemented since Jan 1, 2014, as part of the Incentive Based Regulation mechanism.
Meanwhile, Ongkili said solar projects would be implemented in 10 public universities, and a five-year education programme totalling RM1 billion would begin next year.
As for Sabah and Labuan, the government has provided fuel and tariff support subsidies worth RM1.63 billion for the period of March 2015 to June next year.
“The pledge to maintain the current electricity tariffs demonstrates the sincerity of the government, which places the welfare and interests of the people as its priority,” said Ongkili.
“This is in line with its efforts to reduce the effects of the rising cost of living on the rakyat.”