PUTRAJAYA: There will be no increase in electricity tariffs for all electricity users in Peninsular Malaysia with the implementation of the Imbalance Cost Pass-Through (ICPT) for the period from Jan 1 to June 30, 2025.
The Energy Transition and Water Transformation Ministry said it was a decision made by the government last Dec 13 to guarantee the well-being of the people by ensuring that domestic consumers continue to be protected through the implementation of targeted electricity subsidies.
"Overall, the amount of electricity subsidy from January to June 2025 that will be financed by the government will be as much as RM2,388mil.
"The Energy Transition and Water Transformation Ministry believes that the implementation of targetted electricity subsidies is the best approach to reduce the government's subsidy commitment so that the allocation can be channelled in other forms of assistance to the people," it said in a statement on Friday (Dec 20).
It said the initiative allows the government to continue to improve public infrastructure and health care as well as support the country's education sector.
Last June 29, the Energy Transition and Water Transformation Ministry announced that the rebate of two cents per kilowatt hour (kWh) would be maintained for 6.9 million domestic consumers under 600 kWh, no change for 1.3 million consumers under 1,500 kWh, and a rebate of 10 cents/kWh for 85,000 consumers over 1,500 kWh.
The government also agreed with the setting of the average basic electricity tariff rate in the Peninsula for Tenaga Nasional Bhd (TNB) under the framework of Incentive Based Regulation (IBR) for the Fourth Regulatory period (RP4) starting from Jan 1 to Dec 31, 2027.
Accordingly, the government through the Energy Commission (ST) is finalising a proposed new tariff schedule that reflects the actual cost of electricity supply and is more competitive, while maintaining the balance of the energy trilemma (security, sustainability and affordability).
This new tariff schedule is proposed to be implemented on July 1, 2025, involving a financial implication estimated at RM3,570mil which will be funded by the government.
PETRA said the government also remains committed to ensuring the welfare of the low-income group through the RM40 Electricity Rebate Programme for electricity users in the Hardcore Poor category who are registered in the e-Kasih System with an allocation of RM55 million.
"Eligible users can check their eligibility status on the website https://semakanrebat.petra.gov.my/apps/public/index.php or visit the nearest utility store, or see the amount of electricity subsidy in their monthly electricity bill," it said. - Bernama
