Wednesday October 10, 2012
Electricity tariff to remain at current rate, says Chin
By NG BEI SHAN
KUALA LUMPUR: The electricity tariff rate will remain at its current level, said Energy, Green Technology and Water Minister Datuk Seri Peter Chin Fah Kui.
It will only be reviewed next June as the Cabinet had rejected the ministry's proposal, Chin said. “The Cabinet has not approved it. So I think there will not be any review and the tariff will not be changed,” he said at a press briefing yesterday after the launch of The International Best Practices Seminar.
Chin also hinted at “good news” in the matter of renegotiation of power purchase agreements (PPA) for independent power producers (IPPs).
However, changes in the PPAs would not change the current tariff system, he said.
According to the subsidy rationalisation plan by the Performance Management and Delivery Unit, electricity tariffs will be increased every six months until July 2014.
The last time tariff rates were adjusted was in June last year on the back of an increase in the natural gas price for the energy sector.
In the afternoon, the Energy Commission announced extensions for three IPPs based on international competitive bidding.
On the temporary halt in installation of new meters, he said the matter arose due to the number of complaints received from consumers who claimed that their electricity bills had increased after the replacements.
“We have to find ways to get consumers to have confidence in these new meters,” he said.
He also said his ministry was in discussion with Tenaga Nasional Bhd to come out with a standard operating procedure for meter replacement to boost consumers' confidence and educate them on the differences between the electro-mechanical meters and the new digital meters.