Yeo Bee Yin - EV Charging Station Must Be Under TNB’s National Grid Asset

The government must prioritise including EV charging stations as national grid assets to accommodate the anticipated rise in electric vehicles (EVs) in Malaysia, asserts Puchong MP Yeo Bee Yin.

Drawing a comparison to the classic “chicken and egg” dilemma, Yeo stressed that Malaysians would hesitate to purchase EVs if there aren't sufficient charging stations. However, without enough EVs on the road, no company would invest in building these stations, as their profitability hinges on the number of vehicles charging daily.

Yeo proposed that Tenaga Nasional Bhd (TNB) should take responsibility for the installation of charging stations, using its capital expenditure (capex) under the upcoming fourth regulatory period (RP4) of the Incentive Based Regulation (IBR) for 2025-2027.

Yeo went on to add, "With the inclusion of charging stations under the IBR framework, TNB would be the primary executor, allowing for the swift and efficient rollout of stations across public locations. Moreover, the cost per unit would be significantly reduced due to economies of scale."

As the former Energy, Science, Technology, Environment, and Climate change minister, Yeo emphasised that all capex related to national grid infrastructure is governed by the IBR, and forms part of the formula used to calculate the base electricity tariff for Peninsular Malaysia.

She further argued that even if the capex for RP4 remained consistent with RP3's RM20 billion, the cost of establishing charging stations would account for only 2.9% of TNB’s total capex for the 2025-2027 period.

“To meet the national target of 10,000 charging stations, we still need approximately 7,500 more stations. Assuming that 20% are direct current (DC) chargers, which cost around RM250,000 each, and 80% are alternating current (AC) chargers, at about RM35,000 each, the total expenditure would be RM585 million,” Yeo calculated.

Additionally, Yeo made it clear that the investment is not just necessary - imperative. “The impact of such an initiative is far-reaching and overwhelmingly positive," she said.

However, Carz.com.my would like to correct some of the data presented by Yeo. According to the MEVNet dashboard, there are currently 3,171 live chargers in operation, meaning Malaysia still falls short by 6,829 chargers to meet the 10,000 target. Frankly, it’s a significant gap, and achieving this by the end of 2025 seems highly ambitious given the circumstances.

Additionally, Yeo’s proposal for Tenaga Nasional Bhd (TNB) to take on the responsibility of installing charging stations contradicts the stance of MITI Minister Tengku Zafrul, who has called for private charge point operators (CPOs) to take the lead on behalf of the government.

Many CPOs have already invested heavily in expanding Malaysia’s EV charging infrastructure. However, they are facing bottlenecks - primarily due to delays in obtaining various licences and approvals from government departments and agencies, as well as power allocation from the same TNB that Yeo is urging to spearhead the rollout.

It's clear that while the goal is essential, the execution needs to be aligned across all stakeholders to avoid conflicting directives and ensure efficient progress.

Additionally, Yeo called on the government to urgently table the long-overdue “lemon law” to protect consumers from substandard products, particularly vehicles. She pointed out that this law is already in place in countries like South Korea, the United States, Australia, Canada, Singapore, and the Philippines, offering buyers recourse when a product fails to meet quality standards.

“The lemon law gives consumers the right to demand a refund or replacement if their vehicle continues to have serious defects after multiple repair attempts,” she explained.

Given that 70% of Malaysians own at least one car, Yeo stressed that implementing the lemon law is essential to improve the quality of vehicles in the market and enhance after-sales service.

Source: Selangor Journal