Tariff setback projected for TNB

Unchanged prices may compromise balance sheet

PETALING JAYA: A dampened dividend outlook plus a weak balance sheet over the near term is what is being predicted for power utility Tenaga Nasional Bhd (TNB), following the government’s decision to keep tariffs unchanged in the second half of the year.

UOB Kay Hian Research said this in a report to clients, adding that it had initially expected the government to raise the tariffs for the commercial and industrial segments while keeping household tariffs stable.