Don't Be Surprised If Your Electricity Bill Is 10-20% Higher Than Normal In 2014
Malaysians will soon feel the extra pinch as a result of the government's plan to reduce subsidies. Electricity tariffs are expected to increase in a few months time.
Electricity Tariff Hike Will Impact Malaysia's Status As A Global Shopping Destination, Says A Mall Operator
Shopping mall operators are distressed over what they called a “triple blow” to the industry with the latest announcement of the increase in electricity tariffs.thestar.com.my
Shopping malls in Malaysia, especially in urban areas, would have to transfer the burden of increased operating costs to consumers, said a shopping mall group.themalaysianinsider.com
“Electricity is the single largest expenditure for shopping malls. This will definitely impact the competitiveness of our shopping malls and our status as a global shopping destination,” Chan said.thestar.com.my
The Government Should Make Sense Of The Tariff Hike, Says Wecam. What's The Real Cost of Power Distribution?
National Water and Energy Consumers Association (Wecam) secretary-general Foon Weng Lian said the government should have first consulted the stakeholders, just as it had done two years ago when a tariff review was conducted.msn.com
Foon said the government has to show details as to the real cost of power distribution and make sense of the tariff hike.msn.com
Malaysia's inflation as measured by the consumer price index, is expected to surpass 3% in January 2014, Bank Negara Malaysia governor Tan Sri Dr Zeti Akhtar Aziz says.theedgemalaysia.com
Even though the government sought to quell discontent by assuring that the recent electricity hike will not affect 70 percent of the population, all Malaysians will still feed the pinch on their pockets from the cascade effect, says Kedah PAS Youth chief Nasir Zakaria.malaysiakini.com
Lim Guan Eng said close to two million domestic consumers in West Malaysia would be hit by the hike by an average of 14.8% and 1.4 million among them pay no more than RM200 for electricity monthly.themalaysianinsider.com
Increase In Electricity Tariff Will Trigger Inflation And Hit The Manufacturing Sector Hard
The government has allowed Tenaga Nasional Bhd (TNB) to raise electricity tariff by about 15% from January, which may trigger imminent inflationary pressure on the economy and hit manufacturers like glove producers and steel mill players.freemalaysiatoday.com
The Federation of Malaysian Manufacturers (FMM) said that the “large” increase in the electricity tariff would hit businesses hard amid pressures from minimum wage and minimum retirement age policies, as well as an impending rise in gas pricing and other proposals like unemployment insurance.yahoo.com
“The manufacturing sector is disappointed with the huge 16.85 per cent increase in electricity rates for the industrial category and the effective date, which is only one-months’ notice,” FMM said in a statement today.yahoo.com
However, Dr Ongkili said 70.67% of consumers in Peninsular Malaysia and 62% in Sabah and Labuan would not be affected by the tariff hike.thestar.com.my
“There will be no tariff increase imposed on the consumers who use electricity at a rate of, or lower than, 300kWh a month. This amounts to 4.56 million consumers in the peninsula and 260,000 in Sabah and Labuan,” he added.thestar.com.my
The new tariff will certainly fan inflation, currently at about 3%, after key subsidies were reduced in the last four months but the government said price rise will be under control.freemalaysiatoday.com
[BREAKING] Electricity Tariffs To Increase By 15% Starting 1 Jan 2014
Following weeks of speculation, Putrajaya today announced that electricity rates in Peninsula Malaysia will be up by 14.98% or 4.99 sen to 38.53 sen per kWh, and five sen for Sabah and Labuan, effective January 1 next year.themalaysianinsider.com
Meanwhile, Sabah and Labuan see an increase of 5sen, all of which will take effect on Jan 1. Energy, Green Technology and Water Minister Maximus Ongkili announced this at a press conference in Parliament today.malaysia-chronicle.com
This move was anticipated after Putrajaya announced its plans to trim fuel subsidies for power producers in the first quarter of 2014.
Ministry secretary-general Datuk Loo Took Gee was quoted as saying that the reduction in fuel subsidies for the power sector was essential to stabilise the economy.themalaysianinsider.com
Ongkili said in a statement that about 71 percent of consumers in peninsula Malaysia would not be affected by the power tariff hike, due to exemptions for low-income Malaysians.
"Since 1997, the government has fixed the domestic price of gas at a much lower level than the market rate to ensure that all segments of society enjoy affordable electricity tariffs," the statement said.reuters.com
Increase In Electricity Rates Likely To Be Announced Today, 2 Dec 2013
The Government is expected to announce today a hike in electricity tariffs of about 15% or roughly 4.9 sen per kilowatt hour (kWh).
According to sources, the announcement is expected to take place in Parliament.thestar.com.my
Energy, Green Technology and Water Minister Datuk Seri Dr Maximus Ongkili had said last Wednesday that the Government will implement a hike in electricity tariffs “anytime in 2014”.newsbcc.com
However, Ongkili, who had met several reporters in Parliament over the course of last week, added that the final decision on the timing of the hike and the quantum of the increase lies with the Cabinet.thestar.com.my
Increase In Electricity Tariff Will Burden The People Further, Says Pakatan MP
Pakatan Rakyat today slammed Putrajaya for its proposal to increase electricity tariff in Malaysia between 10 and 20 per cent next year.freemalaysiatoday.com
Klang MP Charles Santiago said today the increment would have detrimental effects on the people who are already struggling with their current electricity bills.malaysiandigest.com
“Everything uses electricity and to manufacturers, 20 per cent is a huge increase in monthly expenses in terms of an electricity bill,” the Klang MP added.freemalaysiatoday.com
"Now that they want to increase the tariff, they have to minimise the effect on the consumers and the poor," said Fomca chief.nst.com.my
“First it was an increase in petrol price, then the removal of sugar subsidy, and now they want to increase the tariff for electricity… they just don’t care about the welfare of the people,” the Kapar MP said.malaysiandigest.com
Malaysians Are Likely To See A 10% To 20% Increase In Electricity Tariffs Next Year
Consumers should brace themselves for a 10%-20% hike in electricity tariffs next year.thestar.com.my
A tariff hike will see rates for both industrial and households increase, but any hike for businesses will be mitigated against the need for them to remain competitive.thestar.com.my
The Current Electricity Tariff Is 33.5 sen kwh With A Subsidy Of RM8 billion To RM12 billion A Year
Government subsidies for electricity range between RM8 billion and RM12 billion a year. The prevailing tariff rate for electricity is 33.5 sen per kilowatt-hour (kwh).themalaysianinsider.com
The government spends some 130 million ringgit ($40.5 million) annually to subsidize consumer power consumption while state energy company Petroliam Nasional Bhd. forks out another MYR8 billion to MYR10 billion a year in subsidies for the power sector, the minister said, adding that the savings may be directed to "socio-economic development."4-traders.com
Analysts Say Consumers Could Be Paying As Much As 40.2 sen Per kWh After The Price Hike
Based on estimates, Malaysians may have to pay 40 sen/kWh, compared to current electricity price of 33.5 sen per kWh, when subsidies to power companies are cut.themalaysianreserve.com
A home appliance that is rated at 1,000 watts, if left switched on for one hour, would use 1 kilowatt-hour (kWh) of electricity.
A 10%-20% hike would translate into an increase of 3.35 sen/6.7 sen per kWh to 36.85 sen/40.2 sen per kWh.
This is based on the prevailing tariff rate of 33.5 sen per kWh, which is about 8.5 sen below the “true cost” of power at 42 sen per kWh.thestar.com.my
Energy, Green Technology and Water Minister Says The Price Hike Has Not Been Finalised, But Anything Below 20% Is Reasonable
A Date Has Not Been Decided, But Consumers Can Expect The Price Hike To Be Introduced In The First Quarter Of 2014
This Is In Line With The Government's Move To Reduce Fuel Subsidies
Ministry of Energy, Green Technology and Water secretary-general Datuk Loo Took Gee says that the reduction in fuel subsidies for the power sector is essential to stabilise the economy.themalaysianinsider.com
The government plans to cut fuel subsidies for power producers in the first-quarter (1Q) of 2014, in order to trim soaring subsidies for the energy sector which touched RM24.8 billion to date this year.themalaysianreserve.com
The subsidy rationalisation is also the first move towards market-based prices as well as a plan to introduce a fuel-cost pass through mechanism so that consumers pay higher or lower electricity prices according to the market.
Under this plan, which is already in place for petrol and diesel, the fuel cost would be reviewed every six months.themalaysianreserve.com
It would also be in line with its efforts to boost efficiency and competitiveness in the Malaysian power industry, as well as to ensure sufficient returns to capital for utility company Tenaga Nasional Bhd to cover its costs.thestar.com.my
The Govt Is Also Planning A “Stabilisation” Programme To Protect Consumers When The Price Hike Takes Place
If subsidies were removed, the new electric tariff will greatly burden the end users, critics say.themalaysianinsider.com
Ongkili said the Government would implement a “stabilisation” programme to protect consumers, especially the low-income group, when the tariff hike takes effect.
Details of the programme have yet to be finalised.malaysiaedition.net
According To MyPower Chief Executive, Long Term Subsidy Of Gas And Electricity Can Weaken, Instead Of Strengthen, The Economy
MyPower chief executive Datuk Abdul Razak Abdul Majid, however, said: "Many global studies have shown that continuous provision of subsidised gas or electricity over the long term weakens rather than strengthens the economy."themalaysianinsider.com
The Electricity Tariff Was Last Increased In June 2011
The last electricity tariff hike was in June 2011 when the government raised the price of natural gas, a key input for the power sector, after a spike in energy prices made its subsidy burden "unsustainable," the government had said.4-traders.com
The electricity tariff was last revised in June 2011 after the Government raised the subsidised gas price for the power sector to RM13.70 per million metric British thermal unit (mmbtu) from RM10.70 per mmbtu.thestar.com.my
Malaysians Have Already Seen The Price Of Petrol And Sugar Increase This Year Alone. KL's Property Assessment Rates Are Expected To Increase In 2014 As Well.
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