Anwar: Homes With High Electricity Consumption Will No Longer Enjoy Govt Subsidy
The prime minister said a home with multiple air conditioners, for example, must pay the real cost of their usage.
By May Vin Ang — 16 May 2023, 05:29 PM
Households with high electricity consumption can no longer enjoy government subsidies, said Prime Minister Datuk Seri Anwar Ibrahim
After chairing the National Economic Action Council (MTEN) meeting on Monday, 15 May, Anwar told reporters that households with high electricity usage should pay the actual cost of consumption.
"For example, one home using three fans and four air conditioners must pay the real cost of electricity and no longer enjoy subsidies," he said, as quoted by BFM News.
However, he stressed that B40 and M40 households will not be affected
According to New Straits Times, he said the subsidy removal will not affect 90% of Malaysians, as it will only affect private residences that use "excessive" electricity.
Anwar, however, did not elaborate on the mechanics of the plan.
He added that Putrajaya is expected to save up to RM8 billion with the implementation of this targeted subsidy.
The move is in line with the government's effort to ensure subsidies are more targeted
Early this year, Natural Resources, Environment, and Climate Change Minister Nik Nazmi Nik Ahmad had asked the Dewan Rakyat to review the electricity subsidy for the T20 group because they could afford to pay a more competitive tariff.
