The Malaysian Automotive Affiliation (MAA) has stated the hike in electrical energy tariff is the explanation for the improve in automobile costs within the nation. This was revealed on the affiliation’s annual overview press convention yesterday, together with gross sales knowledge for the 2022 (and past).
On December 16 final 12 months, the federal government, by means of the Power Fee (EC), gave Tenaga Nasional the approval to proceed implementing the Imbalance Value Cross-Via (ICPT) mechanism for the interval of Jan 1 to June 30, 2023. ICPT is a mechanism below the Incentive Based mostly Regulation (IBR) framework which permits for Tenaga Nasional (TNB) to mirror modifications in gasoline and different vitality generation-related prices within the electrical energy tariff.
These prices are set primarily based on benchmarked costs within the base tariff, and the implementation of ICPT, which is reviewed each six months, would mirror the precise prices in tariff in from of rebate or surcharge. For instance, if coal and/or gasoline costs go up, there’s a surcharge, and vice versa.
Prime minister Datuk Seri Anwar Ibrahim has stated beforehand there could be no electrical energy tariff hike for households in addition to small and medium-sized enterprises (SMEs). This was clearly mirrored within the EC’s press launch, whereby home customers (Tariff A) would keep a rebate of two sen/kWh. In the meantime, non-domestic customers below Tariff B and D (micro companies, SMEs) in addition to Tariff H, H1 and H2 (agriculture) would keep a surcharge of three.7 sen/kWh.
Nevertheless, Anwar additionally stated final month that multinational and huge export-oriented firms could be subjected to an electrical energy worth hike, as “the present tariffs are too low for them.” The EC, in its launch, stated the surcharge for customers (low, medium and excessive voltage) amongst business members, together with MNCs, will face a surcharge of 20 sen/kWh, up from the earlier 3.7 sen/kWh. These electrical energy tariffs are efficient from January 1 till June 30 this 12 months.
The EC additionally said in its launch that throughout the July 1 to December 31 interval in 2022, there was a spike in gasoline and vitality technology prices by RM16.2 billion, which might equate to an ICPT surcharge of 27 sen/kWh. With coal and pure gasoline making up over 90% of the electrical energy generated within the Peninsular, and the costs of those fuels going up, electrical energy technology prices have gone up by 74%.
Even with the brand new tariff for industrial customers, the federal government remains to be footing a subsidy invoice of RM1.93 billion, which when mixed with the subsidies paid to take care of the tariff for home and smaller non-domestic customers, quantities to RM10.76 billion in subsidies.
The revision of the electrical energy tariff for industrial customers, which actually contains carmakers, is the explanation for the hike in automobile costs, though some manufacturers have stated they are going to keep their pricing for now.