How electricity prices in Malaysia have changed since the year 2006?? Looking forward will the electricity become cheaper or more expensive?

 

Year 2006 was the year that I just graduated. 

I still remember, that time I only paid RM2.50 for a meal whether it’s Curry Mee or Chicken Rice or whatever it is that was being sold in the food stalls.

Today, minimum RM7 to RM10 for the same thing, probably the portion became smaller..

Thanks to the power of inflation. It applies in almost anything, but the fresh graduates may not agree though.

What about our electricity price?

Let’s just look at the Residential electricity tariff rate. 

In 2006, If you used a lot of electricity (used > 1,000 kWh), the highest tier electricity rate you paid was RM0.312 per kWh (or per unit) for 1,001 kWh onwards.

But, in 2008 every unit 901 kWh onwards that you used, the rate was RM0.46 per kWh! It increased about 47%! 

Although there was some slight reduction in tariff in 2009 (RM0.446 per kWh for the highest tier tariff), probably due to political pressure or Government's influence etc. But it didn't last long... 

In 2011, the electricity rate was raised back. The highest tier tariff was raised  to RM0.454 per kWh for every unit exceeding 900 kWh that you used!

Things became worse in 2014 (in 8 years time)! And it affected most of us.

Every unit exceeds 300kWh that you used, you already need to pay up to RM0.516 per kWh. Compared to RM0.402 per kWh in 2011 (about 30% increase). Or almost 79% increase if you compare to the year 2006 (RM0.289 per kWh).

And for high usage users, the highest tier rate you pay increased to RM0.571 per kWh…

The good news is that, since then TNB electricity tariff has been maintained  as per tariff of 2014 until today (In fact TNB still can adjust the cost per kWh via ICPT which is another topic).

Why do you think the Government is still stopping the electricity rate hike?

With the current political and economic situation, the weak MYR currency for fuel import, the hike in logistic cost etc. How much pressure do you think TNB is facing?  

How long do you think we can still hold on to this current rate?

We are now 7 years from 2014, do you think history will be repeated? 

If it happens, would your income rise concurrently to cover the additional expenses incurred if electricity price increases by 10% or 20%? Or even more….

I think everyone has a clue how it will go.

Many people have got ready for the worst! They started generating their own power and already enjoying significant savings by generating their own solar PV power! 

Follow and subscribe to us. We will share more on Solar PV Power, how it works, benefits you and many other pro tips on that…

Reference:-

Year 2006 Tariff

Year 2008 & 2009 Tariff

Year 2011 Tariff

Year 2014 Tariff