No Revision In Sarawak Electricity Tariff Since 1992

Kuching, 28th January 2014 : Sarawak Energy today highlighted the serious consequences that would arise from a 30 per cent reduction in electricity tariff.

According to the Sarawak Energy’s Vice President of Retail, Mr. Lau Kim Swee, “Sarawak Energy has not revised its electricity tariff since 1992 and remains reasonable compared to other energy providers in the region. For example, an average tariff in Sarawak is 29.81 sen while the TNB average tariff is now at 38.53 sen/kWh and is poised to rise further in coming years. In Singapore, which is closer to the global average, the tariff is now over 65 sen/kwH."

Lau added, “Sarawak’s drive into bulk hydropower has provided a buffer against the upward pressure that has caused electricity prices to skyrocket in the rest of the world.”

“Sarawak's sparse rural population and difficult terrain combine to make the provision of reliable electricity a challenging task. Many of our rural lines are over 100 km long and pass through thick jungles, river crossings, secondary forests, and oil palm estates and can only be accessed on foot, motorcycles or boats,” Lau explained.

“Sarawak Energy respects that the determination of tariff’s is a matter for the State, but our view is that the current tariff strikes a fair balance – sufficient to allow Sarawak Energy to maintain and expand the network to drive the nation’s growth”.

Mr Lau concluded “A reduction of the tariff by 30 per cent would create some short term relief for customers but would destroy Sarawak Energy’s capacity to maintain the quality of service that our customers enjoy today, let alone improve it.”