Current electricity tariff to remain until end of 2017


  • Nation
  • Saturday, 01 Jul 2017

KOTA KINABALU: Electricity tariff in the peninsula, Sabah and Labuan will be maintained until the year end, Energy, Green Technology and Water Minister Datuk Seri Dr Maximus Ongkili said.

He said the power tariff in the peninsula was to be kept at 38.53sen per kW hour (kWh) while the rate for Sabah and Labuan would be 34.52sen.

The Kulim High Tech Park which has a different supplier will not come under this move and there will be an announcement by the Electricity Commission, he said.

Sarawak will also not be affected as its own utility firm, the Sarawak Electricity Supply Corp has its own tariff rates.

Ongkili said the government decided to maintain the tariff despite a 2.4% increase in fuel and power generation costs between January and June in the peninsula.

He said the Cabinet, at its meeting on June 21, decided to allocate RM1.303bil to cushion an increase in fuel and power generation costs over the next six months.

The allocation was from the Renegotiation of Power Purchase Agreements with First Generation Independent Power Producers (PPA Savings Fund).

“What we have done is to pass on whatever savings we have to consumers to maintain the existing tariff to avoid burdening the consumers,” he added.

The Cabinet had also agreed to give a rebate of 2.54 sen/kWh to consumers in the peninsula, comprising fuel surcharge of 1.02 sen/kWh and tariff rebate of 1.52 sen/kWh through the PPA Savings Fund from July until December.

He said consumers in Sabah and Labuan would receive special subsidies of RM468mil this year.

The tariff for Sabah will be kept at 1.20 sen until December.

Ongkili said the tariff adjustment under the Imbalance Cost Pass-Through Mechanism (ICPT) had enabled consumers to enjoy a total rebate of RM5.403bil in the peninsula.

Meanwhile, consumers in Sabah and Labuan would enjoy rebates totalling RM196.26mil from March 2015 until December.

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