Kota Marudu Member of Parliament

‘No TNB tariff decrease due to weak ringgit’

Weaker currency is the reason why there is no decrease in Tenaga Nasional Berhad’s (TNB) electricity tariff despite drastic drop in fuel costs.

Energy, Green Technology and Water Minister Datuk Seri Dr Maximus Ongkili said lower costs for petroleum, coal and gas did not translate to lower tariff.

“This is due to the currency exchange and weaker ringgit resulting in the paying more for fuel and power generation costs,” he said when answering a question by Datuk Ngeh Koo Ham (DAP-Beruas) in Dewan Rakyat yesterday.

He said the tariff had been fixed for a four-year period beginning 2014 until 2017 at a rate of 38.53 sen per kilo watt hour.

 

However, Ongkili said the Government was aware of the rising cost of living and had introduced measures to help consumers.

He added that TNB enjoyed subsidy savings of RM760mil which was passed back to benefit the consumers.

He clarified that TNB’s purchase of 1Malaysia Development Berhad’s power generation assets as having no bearing on electricity tariffs.

Later at the Parliament lobby, he reiterated that electricity tariff would likely not be raised even after 2017.

 

Source - The Star