Showing posts with label tariff hike. Show all posts
Showing posts with label tariff hike. Show all posts

Saturday, January 18, 2014

Dad just had an electric shock!

Will you be the next person to get shock in 2014  due to electricity?

Wednesday, January 1, 2014

Businesses to set thermostats higher to cope with electricity tariff hike


   
PETALING JAYA: It’s going to get warmer indoors in 2014 as shopping malls, tall buildings and offices raise temperatures to cut electricity costs.
The Malaysian Association for Shopping and Highrise Complex Management is advising its 400-odd members nationwide to set their air-conditioning at 23°C or 24°C.
Air conditioning, according to the association, takes up the largest share of energy – about 65% – in commercial buildings.
Its president H.C. Chan said most malls in the country are now too cold, with temperatures ranging from 21°C to 23°C.
“We can and should move up a few degrees especially now with mounting energy costs. The reality is that we need to be energy efficient and eliminate waste because electricity is our single, largest expenditure,” he added.
Chan noted that the government in countries like China and Singapore issues guidelines to regulate temperatures in commercial buildings at between 24°C and 26°C.
Building Management Association of Malaysia and International Real Estate Federation of Malaysia committee member Richard Chan said air-conditioning accounts for the bulk of the electricity bill in malls and high-rises.
“The bigger malls or complexes pay anything from RM2mil to RM3mil monthly on air-conditioning alone,” he said.
He said raising the temperature setting of the air conditioner “even by one degree” could significantly reduce bills.
Some buildings feel warm because of poor ventilation, and Chan proposed the management look into improving air circulation. Buildings with glass domes or glass panelling let in more heat, making it more expensive to maintain a comfortable ambience.
“Buildings where employees wear jackets should adjust the temperature. Operators must ensure that air-conditioners are set at an ideal level, properly maintained and regularly serviced,” he said, adding that faulty timers can cause lights and air-conditioners to run non-stop.
Common facilities at medium cost apartments like libraries and gyms may also have the air-conditioning on for certain periods or only in certain corners.
“The saunas will be turned on only when residents request for it (no longer fixed hours),” said Chan.
He said an “energy wheel” (see graphic) is a simple guide to monitoring electricity use.
Malaysian Employers Federation executive director Shamsuddin Bar-dan said companies must take measures to mitigate the tariff hike.
“Set your air conditioners at optimal temperature to avoid waste and switch everything off when staff are out for lunch,” he said. “The costs of converting to energy savings devices like LED lights are expensive but effective in the long term.”
MEF represents 4,500 member companies and 18 affiliate trades associations.
Shamsuddin said employers “may be tempted” to cut back on staircases and parking area lighting and cautioned them against compromising their employees’ safety.
Malaysian Medical Association president Datuk Dr N.K.S. Tharma-seelan said stand-alone clinics that are already struggling to meet rising overheads are certain to replace air-conditioners with fans. “This is especially so for 24-hour clinics,” he said.
He said government hospitals had already set the air-conditioners at 24°C for the common spaces and 22°C for the operating theatre and Intensive Care Unit.
“The highest you can go is 22°C Celsius but 18°C is best.
“The operating theatre and ICU must be cold to prevent germs that cause infections from breeding,” he said.
Private hospitals will not risk making their patients uncomfortable, so the cost of keeping the place cool will have to be passed on to the patients, he said. There are over 7,600 private clinics and hospitals nationwide and the association has over 3,000 members.


Tuesday, December 31, 2013

How much you will pay electricity bill in 2014?

source : TNB website (www.tnb.com.my)

Start from 1 January 2014, Malaysia household will get ready to face the new year challenges.

The new electricity rate will  impact the most of middle class family (with monthly billing above RM43.60) . For those houses consume alot of water heaters and air conditionals, your disposal income will sharply reduce by paying exorbitant high electricity bill if initiatives of saving electricity are not in place. No more cheap electricity to waste.

Kindly refer new TNB domestic (household) tariff start from 2014 as shown as above picture.
__________________________________________________________

Example:

If your  household monthly bill is around 580unit (kwh), you are going to pay  RM220.62  (old rate RM190.59)    Increase of 15.8%

Total bill : RM220.62 + 220.62x1.6% (RE fund)
                =RM223.82 (for January 2014)

_______________________________________________________________


If your monthly hitting up to 650unit (kwh), your bill can reach almost RM257.69 (Old Rate RM220.25)
Increase of 17%

Total Bill: RM257.69 + RM257.69 x 1.6 % (RE Fund)
                  =RM261.8 (for January 2014)


Note : The above calculation doesn't included GST tax (will start on 2015)

Thursday, November 21, 2013

MyPOWER expects 25pc tariff rise in 2014

KUALA LUMPUR: Electricity tariffs could be raised by up to 25 per cent for heavily-subsidised sectors, a top industry executive said.


The maximum quantum will only affect heavy industrial users such as steelmakers and glove manufacturers.

Commercial users such as retailers and enterprises should pay for smaller increases, while those consuming less than 200 kilowatt hour (kW/h) will not see any rises.

The hike, which may be announced by early 2014, is to ensure that the power sector is sustainable, more efficient and free of market-distorting subsidies.

MyPOWER Corp chief executive officer Datuk Abdul Razak Abdul Majid said the potential hike is needed to close the gap between the true cost of generating power and current subsidised tariffs. 

"We have presented our proposal to the Cabinet and it is up to the government on when it wants to hike the tariffs. It could be in January, February, or March next year. 

"The government would have to look at other proposals such as from Petronas (Petroliam Nasional Bhd), the Energy Commission, Tenaga Nasional Bhd (TNB) and others before it can make a decision," Abdul Razak said at a media briefing, here, yesterday. 

Malaysia's power sector has long been inefficient with consumers and industries paying subsidised prices. 

Petronas sells gas to TNB to generate electricity at subsidised prices of RM13.70 per MMBtu (million metric British thermal units) whereby the actual international market price is RM43 per MMBtu' This means the oil national oil corporation is subsidising about RM20 billion. 

The current average cost of power generation is 30.9 sen per kW/h and it is sold to domestic consumers, commercial users and industrial powerhouses at an average subsidised price of 33.5 sen per kW/h. 

However, the actual true cost of power generation, including transmission and distribution, is 42 sen per kW/h compared with the current tariff of 33.5 sen per kW/h. 

The cost of transmission and distribution of 8.5 sen is not inclusive, representing a 26 per cent shortfall. This makes the government subsidise the gap to the tune of RM12 billion a year. 

The Philippines and Thailand sell electricity at 58 sen per kW/h and 48 sen per kW/h, respectively. 

MyPOWER is a special purpose agency created to detail out the key reforms of the electricity supply industry in the next four or five years so that projects aligned with the Government and Economic Transformation Programmes can be implemented smoothly. 


Read more: MyPOWER expects 25pc tariff rise in 2014 http://www.btimes.com.my/Current_News/BTIMES/articles/20131121003019/Article/index_html#ixzz2lEvQDu2f

Saturday, August 31, 2013

Higher electricity bills likely

BY CECILIA KOK 

   
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KUALA LUMPUR: Electricity bills are likely to go up as the Government is expected to reduce subsidies for natural gas in its bid to improve Malaysia’s fiscal position.
“The subsidy bill for the power sector has been creeping up … if the Government doesn’t do anything, the subsidy bill would go higher and higher,” MyPower Corpchief executive officer Datuk Abdul Razak Majid said at a media briefing yesterday.
The last electricity tariff hike took effect in June 2011 when the subsidised gas price was raised to RM13.70 per million metric British thermal unit (mmbtu) from RM10.70 per mmbtu previously.
MyPower, a special-purpose agency set up to drive reforms in the Malaysian electricity supply industry, said subsidies for the country’s power sector alone cost the Government around RM8bil to RM12bil per year, depending on the prevailing input fuel prices.
Natural gas, which currently accounts for about 50% of the power-generation fuel mix in Peninsular Malaysia, is sold to the local power sector at a subsidised rate of RM13.70 per mmbtu, although the market price of fuel has already tripled.
“The Government’s plan is to move towards market-based prices. But it is also conscious of how this move is going to impact customers, so the key decision is whether to slow down the process or move at a faster pace,” Abdul Razak said.
He noted that higher gas prices had made subsidies unsustainable and that the prospects of having to import liquefied natural gas at market rates to alleviate the country’s energy supply challenges had only added to the woes.
According to MyPower, if fuel subsidies were to be gradually removed, then the true cost of power would exceed 40 sen per kilowatt-hour (kwh), compared with the current rate of 33.54 sen/kwh.
While gas is supplied at subsidised prices, coal, which accounts for about 40% of the power-generation fuel mix in Peninsular Malaysia, is procured at market rates. Any change in the two fuels will have a direct impact on the cost of electricity.
On that note, Abdul Razak said the principles of the fuel-cost pass through mechanism had already been worked out. Under this mechanism, fuel cost would be reviewed every six months and any changes (upward or downward) in the cost due to fluctuations in fuel prices (gas, coal and oil) would be passed through in the end-user tariff.
The fuel-cost pass through mechanism is a significant component under the proposed Incentive-Based Regulation tariff framework.
According to Abdul Razak, the framework must be implemented first before the fuel-cost pass through mechanism can take effect.
He revealed that there were plans by the Energy Commission and Tenaga Nasional Bhd (TNB) to do a pilot run for the Incentive-Based Regulation tariff framework from next month to identify issues or discrepancies that need to be ironed out.
“Hopefully, after one year of the pilot run, they can launch the programme proper,” Abdul Razak said.
Under the framework, TNB’s transmission and distribution network’s yearly performance will be benchmarked against a set of performance targets. The electricity tariffs, and hence, TNB’s returns, will then be adjusted based on achieving those performance targets.

Tuesday, October 9, 2012

Chin: Power tariff to remain at current rate


KUALA LUMPUR: Electricity tariff rate will remain at its
current level until June next year, Minister of Energy, Green Technology and Water, Datuk Peter Chin Fah Kui, said today.

He said the earlier plan of the government was to review the tariff every six months but the final authority was the Cabinet and it had rejected the plan.

He disclosed that his ministry had presented the paper on the tariff recently to the National Economic Council.

"Cabinet does not approve it. So I think there will not be any review and the tariff will not be changed," he told reporters after launching the International Best Practices Seminar here today.


The last time the government increased electricity tariffs was in June last year, following an increase in the natural gas price for the power sector.

Chin also said the renegotiation of the power purchase agreements (PPA) for independent power producers will result in a more competitive rate.

"We should wait for the Energy Commission to make the appropriate
announcement soon," he said, declining to comment further.

Meanwhile, Chin also urged Tenaga Nasional Bhd (TNB) to come out with a Standard Operating Procedure (SOP) in implementing the new digital meter.

He said his ministry has had a discussion with TNB following complaints from customers that they were paying higher electricity bills.

The ministry has taken note of the problem and has urged TNB to come out with the SOP which will give confidence to customers.

"They need to explain to the customer that the new meter is good and it has nothing wrong," he said.-- BERNAMA

Read more: Chin: Power tariff to remain at current rate http://www.btimes.com.my/Current_News/BTIMES/articles/20121009154525/Article/index_html#ixzz28mr3TmFE

Friday, September 28, 2012

Higher gas and power tariffs?

REFLECTING MARKET PRICES: Ministry to decide and make its recommendation to the Economic Council by December



THE Energy, Green Technology and Water Ministry has recommended to the Economic Council that electricity and gas tariffs be raised to better reflect market prices.

The government is expected to decide on electricity and gas tariffs by December.

The last hike in gas and electricity prices was on June 1 last year.

At that time, natural gas price sold to the power sector was raised by 28 per cent to RM13.70/mmBTU from RM10.70/mmBTU. 
The average electricity tariff went up 2.23 sen/kWh (kilowatt hour), or seven per cent, to 33.54 sen/kWh.

Electricity rebate for residential households with a monthly bill of up to RM20, however, was maintained.

"Although the tariffs have remained unchanged for more than a year, we have continued to monitor and make the appropriate recommendation on tariff revision for gas and electricity every six months," said Energy, Green Technology and Water Minister Datuk Seri Peter Chin Fah Kui.

"We have forwarded our proposal for revision in electricity and gas tariffs to the Economic Council," he told reporters after officiating the Fourth Energy Forum here yesterday.

"The ultimate decision on whether or not to raise the tariffs lies with the cabinet. My ministry can only act on cabinet's decision," he added.

Six months ago, the Energy Commission announced the groups that had submitted their bids to build a new 1,000MW-1,400MW gas-fired power plant in Prai, Penang. 

Among them were 1Malaysia Development Bhd (1MDB), which has teamed up with South Korean Hyundai Engineering & Construction, YTL Power International Bhd with Marubeni Corp of Japan, CI Holdings Bhd and Teknologi Tenaga Perlis Consortium Sdn Bhd with Daelim Industrial Co Ltd of South Korea, Amcorp Power Sdn Bhd with Mitsui & Co Ltd, and Malakoff Corp Bhd and Petronas Power Sdn Bhd with Mitsubishi Corp of Japan.

In response, Chin said the government will announce the winner next month. 

"The competitive bidding ensures the use of the latest turbines that optimise gas use. We want value for money," he said.

"We will also announce details on the extension of the first generation power purchase agreements next month," he added.


Read more: Higher gas and power tariffs? http://www.btimes.com.my/Current_News/BTIMES/articles/gas27/Article/#ixzz27iTvMstE