LOOMING 14 per cent increase in the base electricity tariff has sparked concern among consumers and industry players, as the nation prepares for the fourth Regulatory Period( RP4) under the Incentive Based Regulation( IBR) framework.

Introduced in 2014, IBR was designed to ensure a transparent, efficient, and performance-driven electricity pricing system. It allows for full cost pass-through on generation costs- such as fuel and capacity charges- while capping the profits of Tenaga Nasional Berhad( TNB) through regulated revenue limits. Key components

like transmission, distribution, and retail also fall under this regulatory framework, with costs closely audited.

The Imbalance Cost Pass- Through( ICPT) mechanism, reviewed every six months, helps cushion consumers from fuel price fluctuations. When fuel costs fall below benchmark levels, rebates are issued. When they exceed benchmarks, surcharges are imposed- buffered first by the Kumpulan Wang Industri Elektrik( KWIE), a fund formed to manage ICPT savings and government allocations.

A source familiar with the framework clarified that not all cost reductions are due to government subsidies. Some are

funded through KWIE, which draws from earlier savings and capped TNB profits- essentially, amounts prepaid by consumers through previous tariffs.

The recent anxiety stems from a vaguely announced five sen / kWh hike in the base tariff- equivalent to a 14 per cent rise- without a clear breakdown or explanation. Historically, tariff bands were adjusted gradually across regulatory periods to minimise impact. A sudden, steep hike could significantly raise electricity bills for businesses, with ripple effects on consumer goods and services.

With over 75 per cent of Peninsular Malaysia’ s electricity consumed by the non-domestic

sector, the burden of the increase is expected to shift from households to businesses, ultimately pushing up the cost of living.

As the RP4 decision approaches, there have been mounting calls for greater transparency and accountability. Stakeholders have urged the government to release RP3 and RP4 tariff estimations publicly, publish JPPPET meeting minutes and annual plant-up capacity plans, conduct meaningful stakeholder engagements prior to tariff changes, reassess direct-award power plant contracts to reduce cost burdens and prioritise energy efficiency to stabilise longterm electricity demand.

THE Sabah government has allocated RM11.15 million in 2025 for the development of landscape programmes and projects throughout the state, with the objective of enhancing green infrastructure to promote public well-being. This funding, sourced from both the federal and state governments, will be distributed to all local authorities( PBT) in Sabah.

Deputy Chief Minister II and Minister of Local Government and Housing, Datuk Seri Dr Joachim Gunsalam, stated that the allocation aligns with Sabah ' s landscape development planning initiative, which focuses on sustainability, environmental aesthetics, and ecological

balance in both urban and rural settings.

The funds are intended to support local authorities in enhancing green facilities to benefit the local community. The announcement was made during the Inisiatif Penghijauan Lestari, Aspirasi Negeri Taman Terindah( I P. L. A. N. T) programme in Sabah, with the speech delivered on Dr Joachim ' s behalf by Assistant Minister of Local Government and Housing, Datuk Isnin Aliasnih.

I P. L. A. N. T. serves as a key strategy in advancing the State ' s long-term sustainable development goals through collaboration with PBTs. Since its launch in 2020, the programme

has recorded 331,151 trees planted across Sabah as of December 2024.

Beyond tree planting, the ministry has also led a variety of awareness and education initiatives. These include the Green Resolution Workshop, grassroots PBT tours to promote eco-friendly practices, and community-based projects such as Community Gardens and Sustainable Partners, encouraging active involvement in environmental preservation.

The ministry is also promoting a sustainable circular economy through resource efficiency, carbon reduction, the adoption of green technology, and environmental protection. Additionally

, it is working to embed green elements into housing and urban planning, such as renewable energy, eco-friendly construction materials, and accessible green spaces.

Collaborations with the federal government are ongoing through initiatives like the Sustainable Community Agenda, the Low Carbon Schools project, and the SDG Roadmap and Voluntary Local Review across five selected local authorities. These efforts form part of a comprehensive plan to establish Sabah as the most beautiful garden state, integrating economic, social, and environmental sustainability.- @ green