KUALA LUMPUR: The government is still discussing the arrangements for electricity bill relief beyond December with Tenaga Nasional Bhd (TNB) and energy authorities, with the funding mechanism and implementation details yet to be finalised, Treasury secretary-general Tan Sri Johan Mahmood Merican said.
He said the current arrangement would remain in place until December, while the government worked with TNB and the relevant energy authorities to determine the way forward for next year.
“The decision for that is till December. In the meantime, the government is also looking together with Tenaga and Energy at the way forward, and that decision hasn’t been firmed up in terms of what would then be the parameters for next year,” he said at a post-Budget 2027 debate hosted by the Malaysian Economic Association (MEA) today.
Johan said the earlier electricity consumption threshold of 600 kilowatt-hours (kWh) a month covered about 85% of households.
However, he said discussions between the government and TNB had considered extending the coverage to 90%, amid higher electricity consumption during hot weather and haze.
He said some households had begun exceeding the 600kWh threshold as they used more electricity, resulting in significantly higher bills.
“I think there was a sense that we still wanted to insulate at least the 85%, although in the discussions with government and Tenaga, they were in a bit further discussion to cover all the way to cover 90%,” he said.
Johan added that TNB’s role in providing the relief also had to be considered, as higher electricity consumption meant the utility was generating more income.
He said the government had yet to settle the parameters for next year or determine the extent to which the cost would be borne by the government or through the electricity tariff mechanism.
Malaysian households continue to face cost-of-living pressures, with electricity consumption potentially rising during periods of hot weather.
Under Budget 2027, the government announced an increase in the electricity bill protection threshold from 600kWh to 800kWh a month, with the measure intended to cover about 90% of domestic users.