THERE will be no increase in Sarawak’s electricity tariff as production costs are still low, Chief Minister Abang Johari Openg said today.

Speaking at gathering to promote the digitisation of the state’s economy in the rural town of Simunjan, about 112km from Kuching, the chief minister said Sarawak could offer “cheap electricity” – cheaper than the peninsula – as its power production, principally by hydro power, is low.

The rate – 18 sen per kilowatt hour (sen/kWh) if total monthly consumption is below 100 units – has remained unchanged since 2015.

It is 22 sen/kWh if the monthly consumption exceeds 100 units but stays below 200.

It’s free if the monthly consumption is below RM5, and a quarter of consumers use less than 100 units a month.

In comparison, the rate in the peninsula is 39.45 sen/kWh.

Prior to January 1, 2015, the tariff was 24 sen/kWh.

Former chief minister Adenan Satem had revised the rate downwards, leading to cries from the opposition that it was an election goodie prior to the 2016 state election.

Sarawak determines its tariff schedule as electricity and its generation comes under the purview of the state.

Currently, the state has three hydro-electric dams – Batang Ai in Lubok Antu, Bakun and Murum – with the fourth, a RM9 billion, 1,285MW dam at Baleh, projected to be operational by 2023.

Abang Johari had earlier this week said when Sarawak bought the 2,400MW Bakun hydroelectric dam from the federal government, it gave the state “full control over energy” and the right to “decide whatever we want to do with our energy, including tariffs”.

“That is why when (the federal government) wants to increase tariffs in Peninsular Malaysia, Sarawak is an exception,” he said.

“We determine our tariff.”

The state bought Bakun for RM2.5 billion in 2017 from the Bakun Hydroelectric Plant, a unit of the Finance Ministry. – January 10, 2020.