KUALA LUMPUR: It is only a “small, small” increase, says Datuk Seri Anwar Ibrahim, referring to the hike in electricity tariff.
The Prime Minister said the tariff increase is necessary, as prices must adjust over time.
However, he clarified that the hike is not 14%.
Although the increase will not be cumbersome or disadvantageous for the business community, he said he is prepared to listen to other views.
He added that lower-income households will continue to be unaffected by the scheduled tariff review for 2025.
He said the hike is to improve the country’s education system and support the poor.
“How do I improve education? How do I assist the poor? How do I upgrade the roads? How do I enhance medical facilities?
“It is through a small tax increase,” he said during his keynote address at the Associated Chinese Chambers of Commerce and Industry of Malaysia (ACCCIM) Chinese New Year Reception here yesterday.
“A slight increase is acceptable,” he added, and quipped that those making a profit can afford to pay a bit more.
In an earlier speech at the event, ACCCIM president Datuk Ng Yih Pyng expressed concern over the recent announcement by Tenaga Nasional Bhd that the base electricity tariff for Peninsular Malaysia would be raised by 14.2% between 2025 and 2027, and proposed implementing it on July 1, 2025.
“The rise in electricity costs will have domino effects on the whole supply chain, potentially passing onto consumers and causing inflation,” he said.
“Given the bunching of additional operating costs, we sincerely urge the government to maintain electricity tariffs at current levels throughout 2025-2026.”
This is to ease the financial burden on businesses and mitigate inflationary pressures from increased operating costs, he added.
Meanwhile, at the event, Anwar also gave his assurance that the government would consider proposals and views from different parties to drive growth for the country.
He said that Cabinet members, for instance, must adopt an open mindset, break away from outdated thinking, and seek solutions and ways to advance Malaysia as a developed nation without falling behind.
“As I have often emphasised, we do not have all the answers, so we must leverage the expertise of academics and experts,” he said.
He also stressed that the business chambers in Malaysia must work as a team to find ways to boost progress.
“Of course, we must not neglect the poor, the urban poor, farmers, fishermen and livestock breeders. However, to generate fresh economic growth, the role of traders, entrepreneurs and business chambers is very important,” he added.
Anwar also said that the country will focus on its own improvement, rather than being affected by “problems outside”.
“Don’t talk about problems outside, some issues are beyond us, are somewhat insurmountable (and) not within our means and capacity.
“I have always felt that we must start at home, which means our political system, the issue of governance and all that needs to be done to ensure that we are efficient,” he said.
Anwar highlighted the areas needed for improvement in the country, such as increasing the level of efficiency, fast-tracking approvals, ridding the country of corruption and making sure that decisions are made transparently.
