Research houses maintain neutral outlook on power

“But we believe TNB will still dominate the T&D market in medium term given the group still owns about RM50bil T&D assets and there is limited expansion opportunity given the electricity penetration rate in Malaysia is around 100% as of 2017, ” CGS-CIMB said.

PETALING JAYA: While consumers are expected to benefit, the power sector will face further uncertainties, arising from potential regulatory changes, and this could weigh on the industry’s financial performance.

According to analysts, upcoming reforms to the sector are expected to result in greater competition among utility companies. With lowering electricity cost being one of the main objectives of the government, consumers are expected to benefit as they could enjoy lower tariffs.