Reduce leakages, cut wasteful spending before increasing SST for electricity


IT has been said that the increase of eight per cent in SST for electricity supply is to strengthen the country’s fiscal foundation but one must realise it will have implications affecting the cost of living of Malaysians. While that appears to be a sound rationale, one important question remains.

Has the government considered other measures to strengthen its financial situation before coming to this decision? In my view, it is not feasible for most households to reduce their electricity consumption, especially at a time when the weather is hot, and is getting hotter.

Concerned citizens can also ask if the government has considered alternative measures to cut down wasteful expenses as a way to strengthen its fiscal position? Over the years and even till now there has been a lot of leakages and wasteful spending, not to mention corruption, involving millions of ringgit. Wasn’t this wasteful?

Can we cut down on other expenses like ministers’ non-essential overseas travel and elaborate government functions?

Instead of hitting everyone with a blanket tax increase, how about incentivising energy efficiency like providing relief for households that install solar panels?

In some countries, it has been reported that, with these panels, it is possible to save 60 per cent of monthly electricity bills.

Increasing taxes, in any form, should always be the last resort. All other available avenues must first be exhausted.

For every increase in taxes, it is imperative that the government shows proof of successful attempts to reduce wastage and leakage.

TAN SRI LEE LAM THYE

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