Charging your electric car at home could soon become more expensive if the government’s electricity subsidy scheme is revised.
AccordingIn a press conference report of the National Economic Action Council (NEAC) meeting, Prime Minister Anwar Ibrahim said households with “excessive” energy consumption will no longer enjoy subsidies. Of electricity.
The PM did not go into detail at what level of kWh usage per month is considered excessive power consumption, but gave an example of three fans and four air conditioners running at the same time.
If your household is classified as no longer eligible for electricity subsidies, you could see your cost per kWh increase from RM0.571 per kWh to RM0.841 per kWh.
The difference of RM0.27 per kWh is the cost of the ICPT that the government has decided to subsidize for the period from January to June 2023.
The ICPT is basically a mechanism to review the electricity rate every six months to take into account fluctuations in the price of fuel, which contributes to 65% of the cost component of the electricity rate.
It is reviewed every six months based on the previous six-month period. Based on actual fuel costs from July 2022 to December 2022, the ICPT from January 2023 to June 2023 has been determined to be a surcharge of 27 sen. The ICPT rate will be recalculated for the period from July 2023 to December 2023.
Subsidizing this 27 sen surcharge for home users is expected to cost RM10.76 billion for this six-month period from January to June 2023.
Earlier we calculated who gets the most subsidies: