In order to let people know how much the Government is subsidising, electricity bills will show the total amount of the Government’s subsidy directly. This measure will take effect from August 2022.
It is understood that the cost of electricity generation from January to June this year has reached RM7 billion, of which RM5.8 billion was borne by the government and RM1.2 billion was allocated to large enterprises.
To find out how much the government has subsidised your electricity bill, you can check your next month’s bill. The bill will also show the amount you would have paid if not for the government subsidy.
Under the electricity generation cost pass-through mechanism (ICPT), the government reviews the cost of fuel and electricity generation every six months and pays the customer a rebate or surcharge based on the savings or increases in costs.
Under the current government rebate mechanism of 2 sen per kilowatt hour, the government will pay a surcharge of RM10 for a household customer who consumes 500kWh of electricity. This household customer would have to pay RM180.20 for electricity, but with the Government covering the RM10 surcharge, the customer will only have to pay RM170.20 for electricity.
