The electricity surcharge explained

Why can’t TNB absorb the higher costs? TNB needs to be financially strong to take on investments that will not only support the energy transition agenda but also reshape it.

COMMERCIAL and industrial (C&I) users of electricity have questioned why Tenaga Nasional Bhd (TNB) should impose a surcharge on them following the approval of tariff setting for 2022 to 2024.

Many also question the need to use surcharges from C&I users to re-invest into the system and grid, and also if the surcharge, which is actually a pass-through mechanism, translates into a higher revenue for TNB.