TNB’s additional tax claim won’t be passed to consumers via tariffs or affect dividends, says MOF

KUALA LUMPUR, Oct 8 — The additional tax claim against Tenaga Nasional Bhd (TNB) will not result in the cost being passed on to consumers through electricity tariff hikes, said the Ministry of Finance (MOF).

It said electricity tariffs in Peninsular Malaysia are determined by the Incentive-Based Regulation (IBR) framework and are subject to the government’s review and approval.

“TNB’s corporate tax liabilities are not costs that are automatically be passed on to consumers through electricity tariffs,” it said.

The ministry said this in a written reply to a question from Datuk Che Mohamad Zulkifly Jusoh (PN-Besut) regarding the implications of the additional tax claim on shareholder dividends and electricity tariffs.