KUALA LUMPUR: Tenaga Nasional Bhd (TNB) said businesses will be affected by additional surchage of 1.35 sen/kWh from July 1 due to higher fuel and generation costs.
The surcharge is provided for under the Imbalance Cost Pass-Through (ICPT) mechanism, which allows the power utility company to reflect changes in fuel and generation costs in consumer’s electricity tariff every six months.
In a statement to Bursa Malaysia today, TNB said the government, via a letter from the Energy Commission dated June 28, had approved implementation of the ICPT for the period of 1 July – 31 December 2018.
TNB said the average Base Tariff will remain unchanged at 39.45 sen/kWh. However, due to higher fuel and generation costs for the period of 1 January – 30 June 2018, the additional cost of RM698.19 million or 1.35 sen/kWh ICPT surcharge, will be pass-through via the ICPT mechanism.
Domestic customers with monthly consumption below 300kWh will not be affected by this ICPT implementation, while those who go beyond the amount will be funded by Kumpulan Wang Industri Elektrik (KWIE).
Domestic consumer refers to those occupying a private dwelling, which is not used as a hotel, boarding house or used for the purpose of carrying out any form of business, trade, professional activities or services.
Non-Domestic customers, meanwhile, will be affected by the ICPT surcharge of 1.35 sen/kWh, TNB said.
It said the ICPT implementation will not have any effect on its business operations and financial position.