The government has allocated RM1.935 billion in electricity subsidy for consumers in Peninsular Malaysia for the period of January to June 2024, according to the Energy Transition and Water Transformation Ministry (Petra).
Petra said in a written reply published on the Parliament website that the subsidy aims to mitigate the impact of rising global fuel prices used for power generation on the public.
In response to a query from Captain (Rtd) Azahari Hasan (PN-Padang Rengas), Petra clarified that the government cannot determine the number of electricity consumers from the M40 group, as electricity bills are based on power consumption rather than household incomes.
Nevertheless, domestic users consuming less than 600 kWj monthly (equivalent to an electricity bill estimate below RM223.51), which accounts for about 84.4 per cent of domestic users in the peninsula, continue to benefit from the two sen/kWj rebate as part of the subsidy retargeting initiative.
For the January-June 2024 period, Petra noted that approximately 1.2 million domestic consumers with usage between 601 kWj and 1500 kWj, constituting 14.7 per cent of domestic consumers in Peninsular Malaysia, would no longer receive the two sen/kWj rebate nor be subject to a surcharge.
This adjustment means consumers with electricity bill estimates ranging from RM250 to RM794.30 will only incur an additional RM12 to RM32 per month.
However, Petra emphasised that the government has allocated subsidies amounting to RM266.19 million to cover the actual surcharge that would otherwise be passed on to consumers in this category.
