PUTRAJAYA (April 1, 2026) β The Energy Commission of Malaysia (Suruhanjaya Tenaga) has indicated that electricity tariffs are set to increase gradually throughout the year. The adjustment is attributed to rising generation fuel costs, which are passed through to consumers under the existing Imbalance Cost Pass-Through (ICPT) mechanism.
The commission stated that the tariff adjustments are necessary to reflect the actual cost of fuel, such as natural gas and coal, used in power generation. The ICPT mechanism allows for a review every six months, enabling adjustments based on global fuel price fluctuations to prevent a sudden large burden on consumers or the government.
While the exact magnitude of the increase for the upcoming period was not specified in the latest announcement, the commission emphasized that the implementation would be gradual. The government has historically provided targeted subsidies to cushion the impact on domestic and low-voltage users during previous ICPT cycles when fuel costs surged.
The announcement serves as an advisory for households and businesses to prepare for higher operational and living costs. The final decision on the tariff rates and any accompanying subsidy measures is typically made by the government following the commission's recommendation.
