Targeted subsidy for electricity to be announced at the end of the year, when PADU database is established

Targeted subsidy for electricity to be announced at the end of the year, when PADU database is established

More on the targeted subsidy policy that the government is planning to introduce next year, this time from the electricity perspective. According to natural resources, environment and climate change minister Nik Nazmi Nik Ahmad, this will be announced at the end of the year after the Pangkalan Data Utama (PADU) socio-economic database is established, at which point T20 users will be precluded from a subsidy.

He said that at present, the subsidy being provided for electricity is based on consumption, not on users’ income, and that domestic consumers in the T20 income group were enjoying more subsidies compared to those in the B40 and M40 groups.

“Assuming that a T20 household has five or more air-conditioners, a dryer and several other equipment, the electricity bill will be between RM500 and RM700 or more. It is unfair for them to receive a much higher subsidy and gain more in terms of ringgit compared to the M40 and B40 groups, because it (subsidy) is based on consumption,“ he said during the ministers’ question time at the Dewan Rakyat yesterday.

He was replying to a supplementary question from Khoo Poay Tiong (PH-Kota Melaka), who wanted clarification on the removal of the electricity subsidy for the T20 group. Earlier this month, prime minister Datuk Seri Anwar Ibrahim said households with “excessive” power consumption will no longer enjoy subsidy for electricity when the switch is made to a targeted policy.

Khoo also asked whether the government will encourage the T20 group to use solar power as an alternative source of electricity. Nik Nazmi replied that the T20 group should be encouraged to use solar power, but the price of the renewable energy must be reasonable and competitive with conventional electricity sources.

Nik Nazmi said that from January to June this year, the government had forked out RM10.76 billion to subsidise electricity for 9.5 million users, who would otherwise have had to pay for a RM0.27 sen per kWh tariff increase in electricity rates had there been no subsidies.

From an automotive perspective, the new policy could potentially impact households using electric vehicles (EVs). As we reported earlier, should your household happen to be categorised as not qualifying for an electricity subsidy anymore, you could see your per kWh cost rise by a bit. Under the current going rates, this would mean a jump from RM0.571 per kWh to RM0.841 per kWh, without a subsidy in place. The question is, would you find it acceptable to pay more to charge your EV at home?

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Anthony Lim

Anthony Lim believes that nothing is better than a good smoke and a car with character, with good handling aspects being top of the prize heap. Having spent more than a decade and a half with an English tabloid daily never being able to grasp the meaning of brevity or being succinct, he wags his tail furiously at the idea of waffling - in greater detail - about cars and all their intrinsic peculiarities here.

 

Comments

  • where are the EV manufacturers? u guys should voice out your worries. if this is coming, people may not be considering EV that much. easily the electricity bills will jump, and no longer being an advantage

    Like or Dislike: Thumb up 18 Thumb down 0
    • macam mana ni on May 26, 2023 at 4:48 pm

      yea, gomen contradicting themselves.
      at one side, they kept pushing EV adoption
      at the other side, they suddenly increase electricity tariffs.
      so apa lagi gomen mau?

      Like or Dislike: Thumb up 23 Thumb down 1
      • Angry Voters on May 26, 2023 at 5:14 pm

        well said. Yet another stupid idea from this stupid gomen.

        Like or Dislike: Thumb up 27 Thumb down 24
        • So, what is your clever idea?

          Like or Dislike: Thumb up 25 Thumb down 8
          • MCO full-lockdown again, loan deferment and duduk rumah gaji buta forever

            Like or Dislike: Thumb up 10 Thumb down 4
        • Terbaik on May 26, 2023 at 6:21 pm

          Tax the rich.. feed the poor B80. so no problemo.. PH BN Best

          Like or Dislike: Thumb up 23 Thumb down 6
        • Satisfied Voters on May 26, 2023 at 9:45 pm

          Kalau tak suka, gi berambus dari Malaysia. Malaysia skrg dah aman.

          Like or Dislike: Thumb up 0 Thumb down 18
        • ingky on May 26, 2023 at 9:50 pm

          dei T20 can afford it la…whats the issue?

          Like or Dislike: Thumb up 6 Thumb down 2
          • Malaysian consumer on May 29, 2023 at 1:45 am

            So T20 should be eating at 5 star hotels daily since they can afford it is it?And it’s OK for the B40 to enjoy 5 airconds at home with subsidy and but T20 cannot get any subsidy even if they have only 1 aircond?What kind of logic is this?

            Like or Dislike: Thumb up 8 Thumb down 5
          • Isn’t it logical that those who defend the T20 group’s right to receive govt subsidy are also from the same group?

            Like or Dislike: Thumb up 5 Thumb down 0
          • bizikot on May 29, 2023 at 11:53 am

            Whether high-income earners from the T20 group want to eat at luxury hotels everyday, or to install only 1 aircon unit at home, that is their own business because they have the right to choose how they want to spend their money, like everyone else. It’s just that they have more choices on what to spend on, as compared to the lower income group. But if someone can afford to buy & install 5 aircon units at home, this person is unlikely to be part of the lower income B40 group in the first place.

            Like or Dislike: Thumb up 9 Thumb down 0
      • Civic Turbo 2018 on May 26, 2023 at 5:18 pm

        How to run mining machines?

        Like or Dislike: Thumb up 5 Thumb down 2
        • Rakyat Malaysia on May 26, 2023 at 7:02 pm

          Janji krjn perpaduan PH BN jaga kito org B40.. 33juta rakyat Teguh pertahankan Madani !

          Like or Dislike: Thumb up 16 Thumb down 7
  • No worry, $T20 continue to drive Cayenne, LM, Bentayga, X5, RX.

    Like or Dislike: Thumb up 13 Thumb down 1
    • Angry Voters on May 26, 2023 at 5:13 pm

      Of course T20 can afford it! They just pass the cost to M40 & B40 downlines. So targeted subsidy is actually hurting the poor not helping them! Yet another stupid idea from this stupid gomen.

      Like or Dislike: Thumb up 21 Thumb down 18
    • Can I advice u something..from Fat Mama on May 26, 2023 at 5:37 pm

      Actually,u know why they r taking donkey moons to come up with the “subsidy ID ?”
      It can be done in 90 days…but delayed due to
      A.Coming state elections
      B.Prolonging
      the subsidy to stay in power till GE16.
      Those not issued a subsidy ID ,will have to pay full rate be it TNB or fuel.
      Hello,now we have ChatGPT n so many AIs computer programmes.What the heck is so difficult to install a subsidy programme at all the pumps?

      Like or Dislike: Thumb up 4 Thumb down 5
  • iphone owner on May 26, 2023 at 5:08 pm

    i dont have an EV, but currently heat wave, and now i dont dare use AC because naik harga. also need to turn off my grandma’s life support system, electrik mahal. my father’s dialysis machine, i should turn off also. mahal.

    Like or Dislike: Thumb up 12 Thumb down 6
    • Terbaik on May 26, 2023 at 6:15 pm

      Tax the rich ..feed to the poor us.
      Syabas kjaan PH pipel happy BN better Nation.

      Like or Dislike: Thumb up 15 Thumb down 13
  • EV die on May 26, 2023 at 5:10 pm

    T20 is the one who can afford EV, now electric tariff is increased then T20 might as well just continue buy the ICE

    Like or Dislike: Thumb up 10 Thumb down 1
  • evlle55 on May 26, 2023 at 5:13 pm

    If you was to Pay Rm0.571 then your electricity comsumption would exceed 900kwh. I use only about 300/400 kwh . If you exceed 900kwh then …BIG BIG House with lots of air conds. So what are you complaining about ? U are RICH .

    Like or Dislike: Thumb up 11 Thumb down 5
    • Meelo on May 26, 2023 at 7:19 pm

      1 person below 400kWh is still ok.
      But 1 household can have 4 to 8 person.
      More people, use more heater, boiling, monitor, hair blower charging too,
      But doesn’t mean $T20.

      How? The tariff adjustment should based on headcount too, for residential.

      Like or Dislike: Thumb up 18 Thumb down 4
  • Janji dicapati on May 26, 2023 at 5:26 pm

    Refer my name

    Like or Dislike: Thumb up 19 Thumb down 2
  • Nurul Izzah on May 26, 2023 at 5:26 pm

    Anwar menang rakyat senang

    Like or Dislike: Thumb up 6 Thumb down 12
  • Already indirectly paid subsidies on May 26, 2023 at 5:38 pm

    the subsidies (this being one of it) are indirectly paid for thru yearly income tax, being the contributor at the highest tier. what the current (and all previous) government unable to do is to curb dishonest, corrupted and greedy hidden T20 high tier. those who work “without income / low income” but live a life of luxury. sports car, lavish lifestyle, nice accommodation, etc, are all owned by them (the ones who make the most). even a normal T20 can be struggling if living in KL.

    Like or Dislike: Thumb up 21 Thumb down 1
  • Tak habis-habis abusing the T20 while wrapping the B40 with cotton to keep them safe.
    Don’t bite the hands the feed you.

    Like or Dislike: Thumb up 29 Thumb down 9
  • I rent a room for RM500 which has an individual meter and im being charged 50 cents per kwh by my landlord. Does that mean my electricity cost will go up by 40% if my landlord falls in the T20 category?

    Like or Dislike: Thumb up 13 Thumb down 0
  • pika-you on May 26, 2023 at 11:24 pm

    Anwar big let down on voter, currency economic, almost every aspect doing backward. contrive rakyat T20 dont deserve anything benefit yet they most contribute income tax to country!!!

    Like or Dislike: Thumb up 7 Thumb down 2
  • lolipop on May 27, 2023 at 1:49 am

    not complaining, pass the cost to B40 and add some profit, more money for me.

    Like or Dislike: Thumb up 2 Thumb down 0
  • Bossku on May 27, 2023 at 4:19 am

    “The question is, would you find it acceptable to pay more to charge your EV at home?”

    If you can afford to buy an EV, then the electricity price is just a drop in the ocean! Do you walk into a Maserati dealership and ask how much is the oil change? Hmmm…

    Like or Dislike: Thumb up 10 Thumb down 0
  • Govt Running Low on money on May 27, 2023 at 9:13 am

    T20 will not receive subsidy, higher bills, govt saving from this category not enough to lower bills for B40. B40 cut across all races, how we come to this situation is another story

    Govt debts is still growing but at lower rate

    Like or Dislike: Thumb up 1 Thumb down 1
  • T20 and M40 are the group that paying MUCH MORE taxes than the B40..

    Like or Dislike: Thumb up 5 Thumb down 0
    • bizikot on May 27, 2023 at 12:04 pm

      As a person’s annual income increases, the amount of income tax that person has to pay also increases. The collected tax helps to finance subsidies for the lower income group. They call it the redistribution of wealth.

      Like or Dislike: Thumb up 7 Thumb down 3
  • Hamzah on May 27, 2023 at 11:42 am

    Ape yang susah nyer… Pi aje kat area yang ade bungalow sebesar besar tu, ambik SN kat Smart Meter TNB, tukar aje charge kod settle…. Why make it so difficult

    Like or Dislike: Thumb up 1 Thumb down 1
  • Cydeen on May 27, 2023 at 11:47 am

    Who is more eligible for subsidies? B40 with a large family lives in one house that uses a lot of electricity compared to T20 with only 2 family members and often eats out.

    Like or Dislike: Thumb up 4 Thumb down 0
  • Tariffs and subsidies should be standardised across the board, not based on income. Don’t forget that T20 population pay way more taxes already. Where’s the government s gratitude for their contribution? This formula will increase prices for all, regardless of income.

    Like or Dislike: Thumb up 7 Thumb down 5
    • bizikot on May 27, 2023 at 1:24 pm

      Government subsidies are not meant to reward the rich. Government subsidies are meant to financially assist the poor. The tax that is collected from the rich helps to finance these subsidies and they call it the redistribution of wealth.

      Like or Dislike: Thumb up 7 Thumb down 7
      • Malaysian consumer on May 29, 2023 at 2:12 am

        Are you saying it’s OK for the government to subsidise the poor to enjoy life with high electricity & petrol usage while the T20 should suffer without any subsidy although the electricity & petrol usage are far lower than the poor while they work harder & pay more taxes? Where is the saving for the government? It’s just bullying the T20 and encouraging them to move out of Malaysia as the pay in here is already much lower for skilled workers compared to other countries.The “T20” here is actually the B40 in other countries like SG, Korea, Japan, HK, US, Europe, etc.So majority of the “T20” here are not rich.Just because they earn more, it doesn’t mean they should pay more for everything, just because they can affort it.Then why should the T20 work extra hard to earn more just to spend more on the same items? Is it going to benefit the country when the T20 start to work like B40 or M40?

        Like or Dislike: Thumb up 7 Thumb down 5
        • bizikot on May 29, 2023 at 11:56 am

          If the poor are already enjoying life, then there wouldn’t be any need for these subsidies in the first place, and the rich would also be enjoying life more, but that is not the reality.
          The purpose of the subsidies is to make life more bearable for the poor.
          The rich already have a good enough life without depending on subsidies. Although they annually pay more income tax, it doesn’t mean that their disposable income after taxation has shrunk down very close to impoverished levels. It’s their choice whether they want to pay less for electricity & petrol this month, and then pay more for the following month. And we can’t stop the rich from thinking that they can afford to travel abroad or live & work in other countries.
          Our government subsidies only apply within our own country, and not in other foreign countries.

          Like or Dislike: Thumb up 4 Thumb down 2
          • wwwww on Jun 19, 2023 at 11:14 pm

            thats where you missed out the point, the so call t20 in MY is nothing compare to other countries, infact if you are living in the city like KL probably you live poorer than b40 in any kampung. Give u example, by definition t20 earn tops 20, if t20 earn rm10k monthly and the b40 earn rm5k monthly it still won’t change the status of t20 and b40 because all by median. The point is income gap bwtweem t20 and b40 is very small in MY considering our currency is so weak anything that is imported probably takes almost same effort from both t20 and b40 to earn it. So whats the point to copy other country while everyone in the country is so poor. You the gov are just selecting easy target to bully with a so call valid reason which is bullshit to me. Construct wealth, not minusing out. Shortcut will always fail!

            Like or Dislike: Thumb up 1 Thumb down 0
      • Mouth said hate communist. Now, implement what is communist doing?

        Like or Dislike: Thumb up 2 Thumb down 0
        • bizikot on Jun 02, 2023 at 9:46 am

          The communist ideology came about to address the wide disparity between the rich & the poor by outlawing capitalism & private enterprise and put the nation’s economy solely under the government’s control where the needs of the citizens are decided & controlled by the same government. The biggest drawback of this system is the lack of freedom that resulted in inefficiency, which is why after almost 80 years of existence, the 1st communist nation, the USSR, and its East European satellite nations broke apart into independent nations that abandoned the communist ways.
          In Malaysia, the economy is still the capitalist free market system with a private sector & some government controls. The redistribution of wealth via subsidies helps to address any dissatisfaction among the lower income groups, and it is not being communist, because the people still have the freedom to choose, whether it is their line of work or run their own businesses.

          Like or Dislike: Thumb up 1 Thumb down 0
  • This will pave the way to PH’s downfall.

    Like or Dislike: Thumb up 13 Thumb down 3
    • bizikot on May 27, 2023 at 1:17 pm

      Do you mean that the T20 group will use their influence because they’re not happy that the ruling administration had barred them from enjoying subsidies that are meant for the lower income group?

      Like or Dislike: Thumb up 8 Thumb down 2
    • B40 to T20 ratio on May 28, 2023 at 9:07 am

      B40 to T20 ratio is like 98 to 2

      Like or Dislike: Thumb up 2 Thumb down 3
  • Consider solar PV system. Many people with landed properties are installing solar panels, and selling excess energy back to TnB. Price to install such system have reduced a lot in recent years, for instance a ~5kW system without backup battery now cost rm300 to < rm100 at current tariff, with ROI less than 6 years. ROI will be even less if tariff increases. This can also be used to partially charge EV. Check out socmed discussions on this topic.

    Like or Dislike: Thumb up 2 Thumb down 2
  • Lol..EV wont work then

    Like or Dislike: Thumb up 1 Thumb down 1
  • Then stupid Government, T20 pay more tax is it fair? If everyone pay same tax, then it is unfair to have more subsidy. Now, money need to pay higher but no subsidy, this is what u call fair? Bravo!

    Like or Dislike: Thumb up 20 Thumb down 4
  • As a T20, I do not mind to remove subsidiary but to everyone. What is the logic behind where T20 need to pay higher percentage of their salary and yet can not enjoy government subsidiary to the citizens? If I do not need to pay tax, I do not mind what the government wants to do. Encourage Malausian to be lazy!

    Like or Dislike: Thumb up 12 Thumb down 0
  • Up to you... on May 28, 2023 at 2:13 pm

    Literally don’t care as we’ll pass it all to the B40s.

    Like or Dislike: Thumb up 1 Thumb down 1
  • Susukotak on May 28, 2023 at 8:04 pm

    Pemyesalan bg pengguna EV. Dah la elektrik jd mahal.. cukai jalan pun bapak ah

    Like or Dislike: Thumb up 0 Thumb down 0
  • ROTI CANAI on May 28, 2023 at 9:24 pm

    thats it, im not working anymore

    Like or Dislike: Thumb up 5 Thumb down 0
  • hey, hey.. have you got a subsidy? c’mon man! cmon… just one more subsidy man.. all i need is just one more… pleeeeease

    Like or Dislike: Thumb up 0 Thumb down 0
 

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