KUALA LUMPUR – Over 23.6 million domestic users in Peninsular Malaysia will benefit from a fairer and more progressive electricity tariff, under a new tariff structure that comes into force today.
The adjustment involves reclassifying users into domestic and non-domestic categories based on voltage usage – low, medium or high.
According to the Energy Commission (ST), the adjustment in the average base tariff rate is based on estimated electricity supply costs for Regulatory Period 4 (RP4). The new base rate is set at 45.40 sen/kWh, down from 45.62 sen/kWh approved in December 2024.
This brings the overall average electricity tariff down by up to 19% compared to RP3.
Tenaga Nasional Bhd (TNB) customers can now track in detail how each sen is spent on electricity via a newly designed, more comprehensive bill format, introduced alongside the revised tariff structure.
Three key SST changes
As reported by Berita Harian, the government is also implementing three major changes to the sales and service tax (SST) framework starting today.
According to a recent statement from the Finance Ministry (MoF), these changes include a sales tax exemption on selected imported fruits – such as apples, oranges, mandarin oranges, and dates.
Other changes include raising the annual sales threshold for service tax registration, and scrapping the previously proposed expansion of service tax to the beauty sector.
An 8% service tax will now apply to certain banking services. However, this excludes basic banking services used by the general public.
Services such as current accounts (chequing), savings accounts, and e-wallets – where charges or commissions apply – will remain exempt from the tax.
Under Phase 1 of the expanded service tax scope, the 8% rate only applies to selected treasury, corporate and investment banking services as listed in Appendix A of the service tax guide for financial services.
Express bus seatbelt rule
Effective today, both drivers and passengers of express and tour buses are required to wear seatbelts.
According to the Road Transport Department (JPJ), drivers must ensure all passengers are buckled up. Offenders will face a RM300 compound fine.
This enforcement applies to buses manufactured after January 2020. Older buses will be given a grace period to install seatbelts.
Vehicle entry permit (VEP)
The government is also fully enforcing the vehicle entry permit (VEP) system at Malaysia’s land border with Singapore starting today, in a bid to enhance road user safety.
Private vehicles entering Malaysia without a valid VEP will be fined RM300. The fine must be settled before leaving the country, failing which exit will be blocked.
As of June 29, a total of 42,416 (or 17.07%) of VEP tags registered to Singapore-registered private vehicles remain inactive, despite the full enforcement of the system beginning today. – July 1, 2025