Tenaga just looking for excuses, says Guan Eng

GEORGE TOWN: Penang Chief Minister Lim Guan Eng said Tenaga Nasional Bhd was only looking for excuses not to reduce electricity tariffs following the drop in fuel prices.

He was commenting on remarks by Tenaga president and chief executive Datuk Seri Che Khalib Mohamad Noh that Tenaga could not reduce the tariff as coal prices that accounted for 60% of its power generating costs remained above US$75 (RM265) per tonne.

Che Khalib said that although 60% of power was generated from its gas-fired plants and 30% from coal, gas only accounted for 40% and coal 60% of costs.

Since the reduction in fuel prices, Lim has reiterated his call for a review of electricity tariffs, which had been raised by 26% in July.

"When Tenaga raised the electricity tariff in July, the reason given was that it was forced to increase the tariff due to the fuel hike. Now, Tenaga is saying that it cannot review the rates due to the high prices of coal.

"They are just looking for excuses not to bring the rates down," Lim said after officiating at the Malaysian Institute of Accountants (MIA)-Bursa Malaysia conference themed Creating Dynamics, Driving Sustainability.

In his speech earlier, Lim reiterated his four-pronged proposal for a RM48 billion economic stimulus plan that would have a tidal effect on all Malaysians.

This included a daily review of fuel prices, reduction in electricity tariffs, a one-off RM6,000 payment for those earning RM6,000 a month and less, and a progressive reduction in corporate tax structure to 17%.

Lim said these measures would help create a tidal effect and lift all Malaysians out of the economic doldrums instead of a select few.

"The RM48 billion circulating in the market would generate more businesses, by as much as 1.7 times and this would help every one of us," he added.

The Edge

mi1: Incompetent CEO, and the management !!!
Replace them wil competent people.