ENZHMS
Link Copiedcheck_circle
EV

Will Targeted Electricity Subsidies Cost EV Owners More For Home Charging?

KS

18-5-2023

Share via


Recently Prime Minister Datuk Seri Anwar Ibrahim announced that households with high consumption of electricity would no longer receive subsidies.

To be precise, his exact words were that “those who can afford to run 3 fans and 4 air conditioners at home are believed to belong in the T20 group, hence should pay the actual cost of their consumption.”

He clarified that this targeted electricity subsidy method based on consumption levels is perfect. Naturally, this method assumes only T20 income households would actually consume high amounts of electricity, thus leaving M40 and B40 households untouched.


However we’ll point out that Datuk Seri Anwar did not exactly quantify the threshold amount of electricity consumption that would equate to a household being categorised as T20.

Back in Dec 2022, the Prime Minister had announced a tariff hike for MNCs, with general households and SMEs exempted. SMEs, according to him, take up the bulk of the subsidy at that time, which sees an estimated cost of RM30 billion annually.

Meanwhile, Natural Resources, Environment and Climate Change Minister Nik Nazmi Nik Ahmad mentioned in March that the government had allocated RM10.76 billion to cover electricity bill subsidies for domestic and non-domestic consumers in the low voltage (LV) category from Jan 1 to June 30, 2023.

EV home charging utilizing the conventional wall plug-point. 

Now with this sudden surge in electricity prices for the so called “T20” group, would this act as a deterrent to all the effort done by the government previously in pushing for a wider spread of EV adoption and drive to bring in more affordable EVs to cater for the M40 and eventually the B40 household category.

Most EV users that we’ve spoken with reside in landed properties and charge their vehicles via private home AC chargers. Based on current subsidised prices, a 76 kWh EV would consume about RM43 to charge from 0-100%.  Also, most EV owners charge their EVs at a rate of 8 times a month, meaning their current home EV charging consumption would be roughly RM344.


However if this household is categorised as T20 based on electricity consumption alone, it would cost RM0.841 per kWh instead. At this rate, single charges will cost RM64, and up to RM512 monthly. This is an increment of RM168 purely on EV charging excluding all other household consumptions.

Now do also keep in mind, petrol prices in Malaysia remain heavily subsidised. Also, one push factor for EV ownership was the cheaper home charging prices that offsets the “hassle” early EV adopters have to endure in charging downtimes, especially during long distance travels with limited charging stations.

Would this move to increase the electricity tariffs benefit EV owners? Will this drive away more potential EV adopters for fears of being indirectly classified in the “T20” category? This is even with the high number of Chinese EV brands poised to the local market with offerings below RM150,000 that are targeted towards M40 groups.

Source: New Straits Times



Share This Article

Written By

KS

More then half his life spend being obsessed with all thing go-fast, performance and automotive only to find out he's actually Captain Slow behind the wheels...oh well! https://www.linkedin.com/in/kumeran-sagathevan/

Share via

JPJ Running Numbers

KUALA LUMPUR

VPC873

SELANGOR

BSE4402

JOHOR

JXW4803

PULAU PINANG

PRQ3417

PERAK

ANV3402

PAHANG

CFB6571

KEDAH

KGA4221

NEGERI SEMBILAN

NEF7075

KOTA KINABALU

SJK7319

KUCHING

QAB3039L

Last updated 01 May, 2025

Fuel Price

Petrol

RON 95

RM 2.05

RON 97

RM 3.18

RON 100

RM 5.00

VPR

RM 6.23

Diesel

EURO 5 B10

RM 2.88

EURO 5 B7

RM 3.08

Last updated 01 May, 2025

Related News

Auto News
Malaysia & ASEAN Set to Discuss Tariff Issues with the US

Malaysia & ASEAN Set to Discuss Tariff Issues with the US

Prime Minister Anwar Ibrahim said Malaysian officials will be sent to the US to begin a dialogue on the tariff issue.

08-04-2025
Auto News
90% of Malaysians Won’t Be Affected by RON95 Subsidy Changes – PMX

90% of Malaysians Won’t Be Affected by RON95 Subsidy Changes – PMX

Prime Minister Datuk Seri Anwar Ibrahim said that the majority of the population won’t be affected by the RON95 subsidy changes.

28-03-2025
Auto News
Hari Raya Aidilfitri Toll Discount to be Announced Soon – Govt

Hari Raya Aidilfitri Toll Discount to be Announced Soon – Govt

The government is set to make an announcement soon regarding the proposed toll discount for Hari Raya Aidilfitri.

21-03-2025
EV
PM Anwar Gifted With Togg EV By Turkish President Erdogan

PM Anwar Gifted With Togg EV By Turkish President Erdogan

PM Datuk Seri Anwar Ibrahim gifted with a Togg EV by Turkish president Erdogan ahead of latter’s Malaysia visit.

10-02-2025
Auto News
Govt Working On Targeted Toll Exemptions For Festive Seasons

Govt Working On Targeted Toll Exemptions For Festive Seasons

The government is refining its approach to toll exemptions during festive seasons.

23-01-2025
Auto News
Govt Open To Reviving KL-SG HSR With Private Sector Involvement - PM Anwar

Govt Open To Reviving KL-SG HSR With Private Sector Involvement - PM Anwar

The government has decided that the KL-SG HSR project can be resurrected with full private sector participation.

08-01-2025
Auto News
Anwar Launches Proton Saga CKD Assembly Plant In Egypt

Anwar Launches Proton Saga CKD Assembly Plant In Egypt

PM Anwar launches Proton’s first left hand drive overseas CKD assembly in Egypt.

13-11-2024
Auto News
Anwar - Govt. Approves Funds To Upgrade Westport Roads

Anwar - Govt. Approves Funds To Upgrade Westport Roads

PM acknowledges alternative route is needed to relieve Westport congestion, immediate solution is to upgrade current route.

30-09-2024

Latest News

EV
Production-Ready Isuzu D-Max EV Revealed – Dual-Motor, 66.9 kWh Battery, 263 KM Range

Production-Ready Isuzu D-Max EV Revealed – Dual-Motor, 66.9 kWh Battery, 263 KM Range

Production-ready Isuzu D-Max EV revealed, packs a dual-motor setup juiced by a 66.9 kWh battery promising 263 KM range.

01-05-2025
EV
UMWT Hands Over xEV Fleet to MOT

UMWT Hands Over xEV Fleet to MOT

UMW Toyota Motor (UMWT) delivers xEV fleet to MOT, effort reinforces its role in innovating and shaping sustainable mobility policy.

01-05-2025
EV
2026 Leapmotor C10 Debuts in China with 800-volt Architecture

2026 Leapmotor C10 Debuts in China with 800-volt Architecture

Presales for upgraded 2026 Leapmotor C10 starts in China, major enhancements includes new 800-volt electrical system, more power, and improved range.

30-04-2025
EV
Xiaomi’s Upcoming YU7 EV SUV May Get Second Variant

Xiaomi’s Upcoming YU7 EV SUV May Get Second Variant

Xiaomi will offer a new single-motor YU7 EV SUV with an 835km range, complementing the previously announced 820km version.

30-04-2025
EV
iCaur 03 Teased for Malaysia Autoshow 2025

iCaur 03 Teased for Malaysia Autoshow 2025

Chery teases the Jaecoo J6 as the iCaur 03 ahead of Malaysia Auto Show 2025.

29-04-2025
EV
New Mercedes-AMG EV Saloon Teased Again Ahead Of June Debut

New Mercedes-AMG EV Saloon Teased Again Ahead Of June Debut

New Mercedes-AMG EV saloon officially teased again, debuts in June as rival to Taycan and e-tron GT.

29-04-2025
EV
PRO-NET Opens Proton e.MAS Dealership Opportunities Across Malaysia

PRO-NET Opens Proton e.MAS Dealership Opportunities Across Malaysia

With growing demand, PRO-NET is actively seeking new dealer partners to join the expanding Proton e.MAS retail network.

28-04-2025
EV
Auto Shanghai 2025: Geely Panda Knight: A Perfect Urban EV?

Auto Shanghai 2025: Geely Panda Knight: A Perfect Urban EV?

Geely Panda Knight charms with rugged styling and promising affordability, but can you look past its basic airbag offering?

28-04-2025

Show More

trending_flat
Carz Automedia Malaysia Logo
About Us

CarzAutoMedia: Stay connected to the latest car news! Get instant updates on new releases, industry trends, and automotive innovations. Your go-to source for 24/7 coverage of everything automotive.

© 2024 CariCarz.com. All Rights Reserved.