Malaysia's Power Bills Soar Amid Global Energy Crisis
The global energy crisis is affecting more than just petrol prices in Malaysia. Economy Minister Akmal Nasrullah Mohd Nasir said that higher natural gas and coal prices are now impacting electricity generation costs, leading to increased power bills for consumers.
According to the minister, this is a lagging effect of the global energy supply disruptions that initially had a more noticeable impact on petrol prices in March. Natural gas is one of the fuels used to generate electricity, and it takes about three to four months for its prices to be affected by changes in petrol prices.
However, consumers who use less than 600kWh per month are not directly affected by these changes in fuel costs under the current tariff mechanism. The fluctuations affecting users who consume more than 600kWh are based on fuel costs under the Automated Fuel Adjustment (AFA), which reflects changes in fuel prices.
The minister also noted that recent weather conditions could contribute to higher electricity consumption as people spend more time indoors.