Implement power tariff hike in stages, says Najib
Former prime minister Najib Razak said any sudden high increase in the electricity rate would result in prices of goods and services going up.
PETALING JAYA: Former prime minister Najib Razak believes the hike in electricity rates for commercial and industrial users should be implemented in stages instead.
“A gradual increase of the electricity tariff every six months by 5% each time would be better,” he said in a Facebook post today.
On Feb 1, a surcharge of 3.7 sen/kWj was imposed on all non-domestic users, such as commercial and industrial companies.
Najib said, depending on the different usage of commercial and industrial businesses, electricity costs could increase by as much as 15% with the new surcharge.
He warned that the sudden high increase in the electricity rate would result in operating costs going up and eventually cause a hike in prices of goods and services to the public.
He said a gradual increase over time would provide the biggest returns for the government, savings for the public and reduce the risk of inflation.
The Energy Commission had previously said electricity costs had increased by 45% because of higher prices for coal used to produce power.
Earlier today, DAP secretary-general Lim Guan Eng questioned why consumers, especially businesses, should churn out more to increase the profits of Tenaga Nasional Bhd (TNB).
He said that before the increase, TNB had recorded a 9.6% and 4.6% increase in revenue and earnings respectively, for the nine months ending on Sept 30, 2021.
PETALING JAYA: Former prime minister Najib Razak believes the hike in electricity rates for commercial and industrial users should be implemented in stages instead.
“A gradual increase of the electricity tariff every six months by 5% each time would be better,” he said in a Facebook post today.
On Feb 1, a surcharge of 3.7 sen/kWj was imposed on all non-domestic users, such as commercial and industrial companies.
Najib said, depending on the different usage of commercial and industrial businesses, electricity costs could increase by as much as 15% with the new surcharge.
He warned that the sudden high increase in the electricity rate would result in operating costs going up and eventually cause a hike in prices of goods and services to the public.
He said a gradual increase over time would provide the biggest returns for the government, savings for the public and reduce the risk of inflation.
The Energy Commission had previously said electricity costs had increased by 45% because of higher prices for coal used to produce power.
Earlier today, DAP secretary-general Lim Guan Eng questioned why consumers, especially businesses, should churn out more to increase the profits of Tenaga Nasional Bhd (TNB).
He said that before the increase, TNB had recorded a 9.6% and 4.6% increase in revenue and earnings respectively, for the nine months ending on Sept 30, 2021.
Biasa lah..
ReplyDeleteCosts are socialised...I.e passed to society...
Profits are privatised... retained by a private group.
Typically capitalistic dogma!
ReplyDeleteIn EU & Scandinavia, many countries export electricity to higher priced region rather than retaining the electricity for local consumption!
eg Sweden exports its hydropower generated electricity to EU countries which r willing to pay. Meanwhile the local r charged exorbitant rate for using the electricity.
Similarly, Germany power generating companies r exporting their coal powered electricity to Eastern Europe bcoz those countries r willing to pay!
In comparison, most of the western Europe electricity rates r more than 100% higher than a year ago.
Most of these govts NEVER thought of restricting/retaining local generated electricity for local usage.
Profit is king for a especially cold winter in these fart filled wells.