If you’re a Malaysian currently residing at Peninsular Malaysia, be prepared to pay a little more for your electricity bill next year.
This is because Tenaga Nasional Bhd (TNB) has recently announced that it will be introducing a new tariff schedule that will see a hike in base tariff.
Electricity tariff set to rise 14% next July
According to a report by The Star, electricity rates in Peninsular Malaysia will increase by 14.2%, bringing the base tariff to 45.62 sen per kilowatt-hour (kWh), which is part of the Regulatory Period 4 (RP4) that runs from January 2025 to December 2027.
Under the previous Regulatory Period 3 (RP3) from 2022 to 2024, the base tariff was set at 39.95 sen/kWh. As for the current tariff schedule, it has remained unchanged since 2014.
However, consumers will not see the new tariff rate being applied during the first six months of RP4 (January-June 2025) as a means to help them adjust to the new rates.
TNB also assured that any difference in rates during this period will be absorbed by the Electricity Industry Fund (KWIE).
The government’s decision to implement RP4 is a testament of the government’s commitment to the Incentive Based Regulation (IBR) framework, which has been the pillar of sustainability and stability of the electricity supply industry.
“It provides a transparent regulatory framework, advocates cost efficiencies and ensures financial and operational sustainability of the system and the industry,” said TNB in a filing to Bursa Malaysia.
The utility company added that under RP4, it will carry out its responsibility in maintaining reliable electricity services, improving customer support, and supporting Malaysia’s transition to cleaner energy sources.
It also said that it will continue its corporate social responsibility (CSR) efforts to ensure a robust and sustainable electricity system.
What do you think of the new electricity tariff? Share with us in the comments!
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