adminKUALA LUMPUR: The additional tax demands against Tenaga Nasional Bhd (TNB) have not resulted in the costs being passed on to consumers through an increase in electricity tariffs, according to the Ministry of Finance (MOF).
The ministry informed that electricity tariffs in the Peninsula are determined through the Incentive Based Regulatory (IBR) framework and are subject to government scrutiny and approval.
“TNB’s corporate tax liability is not a cost that can be automatically passed on to consumers through electricity tariffs,” said MOF.
The ministry stated this in a written response to an oral question from Datuk Che Mohamad Zulkifly Jusoh (PN-Besut) regarding the implications of additional tax demands on shareholder dividends and electricity tariffs.
According to MOF, the claim also does not affect TNB’s ability to continue to make dividend payments, which takes into account the company’s financial performance, cash position and dividend policy.
“The government will continue to ensure that consumer interests are protected through existing tariff regulatory mechanisms, without affecting TNB’s ability to provide a safe and reliable electricity supply,” he said.
— BERNAMA
