1. Imbalance Cost Pass-Through (ICPT) implementation for the period of 1st July – 31st December 2023 are as follows:
2. Domestic customers are not subjected to ICPT implementation.
3. Surcharge of 5.39 sen/kWh for all commercial and industrial customers.
4. The decline of Natural Gas Price has reduced the ICPT surcharge quantum from 8.19 sen/kWh in January 2023 to 5.39 sen/kWh effective 1st July 2023.
FAQ
1. What is an Imbalance Cost Pass-Through (ICPT)?
ICPT is a mechanism under the Incentive Based Regulation (IBR) framework which allows the utility to reflect changes (either increase or reduction) in fuel and other generation-related costs in the electricity tariff every six (6) months in the form of rebate or surcharge.
2. Who is responsible for ICPT calculation methodology?
Suruhanjaya Tenaga as Malaysia’s energy regulator determines the calculation and methodology of the ICPT, subject to Government approval on a 6-monthly basis.
3. What is Kumpulan Wang Industri Elektrik (KWIE)?
Kumpulan Wang Industri Elektrik (KWIE) is a fund that is implemented and controlled by Suruhanjaya Tenaga (ST). The objective of setting up of the KWIE fund is to manage or control the impact of electricity tariffs on consumers.
4. What are the components of Imbalance Cost Pass-Through (ICPT)?There are two main ICPT components:
5. FCPT: Fuel Cost Pass-Through component captures any variation in fuel cost (specific to piped gas, liquefied natural gas (LNG) and coal) because of changes in the fuel price, fuel quantity, generation mix, exchange rates etc.
6. GSCPT: Generation Specific Cost Pass-Through component captures any variation in other generation specific costs as a result of changes in other costs associated with the Power Purchase Agreements (PPAs) & Service Level Agreements (SLAs) and fuel procurement contracts i.e. Coal Supply Agreement (CSA), Coal Supply and Transportation Agreement (CSTA), Gas Supply Agreement (GSA) / Gas Framework Agreement (GFA) and etc.
7. How is ICPT calculated?
The ICPT is calculated based on an estimated actual fuel cost and generation specific costs for a particular six (6) months period against the corresponding baseline costs in the Base Tariff. Simply put, increase in market fuel prices results in higher generation and consequently higher ICPT surcharge has been passed through to non-domestic electricity customers in Peninsular Malaysia.
8. How will ICPT impact my electricity bill? It is a charge that is applicable for every kWh of electricity consumed. ICPT is a variable component in the electricity bill where the ICPT is charged based on your consumption of electricity monthly.
9. The ICPT is a straight “pass-through” charge, and its calculation is the number of kWh consumed in a month multiplies by the ICPT rate (in sen/kWh). The ICPT charge will then be added to or subtracted from your current bill amount
10. Do all customers pay the same amount of ICPT charges?
The ICPT charge on your electricity bill may differ from your neighbours as the ICPT charge depends on your energy consumption (kWh) in a month. Therefore, this amount varies from one customer to another and from month to month, depending on the energy consumption. To reduce the ICPT impact, the consumers are advised to implement the electricity saving measures as recommended by the Suruhanjaya Tenaga.
11. Initiatives from Government for customers to anticipate the next ICPT rate?
The government has provided a user-friendly ICPT Calculation platform through the myelectricitybill.my portal that can be found in the Suruhanjaya Tenaga official website. The purpose of this ICPT Calculator is to educate customers to be more sensitive and alert to the changes in fuel prices and foreign exchange rates in the market. Customers can key in the coal and gas price forecasts as well as the fuel price & forex forecast to estimate the cost of ICPT at the next tariff adjustment.
TARIFF CHART
https://www.nur.com.my/wp-content/uploads/2023/06/tariff-chart23.pdf
Source:
https://www.nur.com.my/tariffs-and-icpt/
https://www.nur.com.my/wp-content/uploads/2023/06/tariff-chart23.pdf
