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Big changes to domestic TNB bill structure – no more tiered rates, base tariff up by 13.64% from July 1, 2025

Big changes to domestic TNB bill structure – no more tiered rates, base tariff up by 13.64% from July 1, 2025

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June 20, 2025
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Big changes to domestic TNB bill structure – no more tiered rates, base tariff up by 13.64% from July 1, 2025

The way in which residential customers might be charged for electrical energy in Malaysia is about to bear a serious change, with the power fee (Suruhanjaya Tenaga, or ST) having introduced earlier right this moment that the common base electrical energy tariff in Peninsular Malaysia might be elevated from the present 39.95 sen/kWh to 45.4 sen/kWh from July 1, 2025.

The introduced fee is a fraction decrease than the 45.62 sen/kWh that was permitted in December 2024, and when it comes to share, represents a 13.64% improve as an alternative of the +14.2% that might have resulted from the beforehand permitted fee.

The precise new tariff charges haven’t been printed, however might be introduced tomorrow at 12 pm on the TNB web site. Whereas your payments will now be offered in another way, the extra necessary query is whether or not you’ll be paying extra on your electrical energy consumption. By all accounts, the rise means you’ll, however there’s a silver lining for almost all of customers, as defined additional under.

Big changes to domestic TNB bill structure – no more tiered rates, base tariff up by 13.64% from July 1, 2025

The change is a part of the three-year Regulatory Interval 4 (RP4) that runs from January 2025 to December 2027, changing RP3 from 2022-2024. Nevertheless, from January to end-June 2025, there was no change within the electrical energy tariff fee and tariff construction, which allowed the general public half a yr to regulate. The present tariff schedule has been in place since 2014.

The ST mentioned that the tariff revision entails a restructuring of the common base tariff fee, a brand new tariff schedule, and a revamped computerized gasoline value adjustment (AFA) mechanism, the latter changing the the present Imbalance Value Go-By (ICPT) system.

Beneath the brand new AFA, changes might be made primarily based on month-to-month gasoline costs and alternate charges, permitting for both a rebate or surcharge to be made relying on precise and benchmarked gasoline costs. Which means that the electrical energy tariff might be adjusted on a month-to-month foundation as an alternative of each six months, which might imply you would be paying roughly on your month-to-month invoice even for those who eat precisely the identical quantity of electrical energy each month.

The ST announcement on the electrical energy tariff revision. Click on to enlarge.

Regardless of all of the modifications, the fee mentioned that underneath the brand new tariff construction, greater than 23.6 million home electrical energy customers within the peninsular are set to learn from fairer and extra progressive charges.

The brand new tariff schedule will see customers now being divided into home and non-domestic classes, primarily based on voltage utilization (low, medium or excessive), whereas costs will mirror precise prices throughout power, capability and community parts.

Electrical energy payments are set to undertake a extra detailed itemised format to enhance pricing readability to customers, and an power effectivity incentive can also be being launched. Beneath this incentive, home customers who eat 1,000 kWh or much less every month won’t be affected by the brand new tariff implementation, the ST mentioned. Non-domestic customers utilizing underneath 200 kWh a month may even profit from the motivation.

st 4

st 5

Click on to enlarge.

Moreover, the time of use (TOU) scheme has been up to date to incorporate prolonged off-peak hours from 10 pm to 2 pm on weekdays and all day on weekends as a way to encourage consumption throughout low-demand intervals.

Beforehand, solely business customers had the choice to be on TOU billing, nevertheless it’s unknown whether or not home customers can now have peak and off-peak charges. It’s possible that we’ll discover out tomorrow when the brand new tariff charges are introduced by TNB.

To protect social welfare elements, the federal government will provide particular tariffs for agriculture, water companies and rail operators, and likewise present a ten% rebate for registered colleges, locations of worship and welfare properties. It’ll additionally proceed the month-to-month RM40 electrical energy invoice rebate programme for hardcore poor households registered underneath e-Kasih.

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Tags: baseBigbilldomesticJulyratesstructuretarifftieredTNB

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