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

KUALA LUMPUR, Oct 8 — The Ministry of Finance (MOF) has stated that Tenaga Nasional Bhd (TNB) is not planning to pass the additional tax claim onto consumers through electricity tariff increases or affect shareholder dividends. The MOF explained that electricity tariffs in Peninsular Malaysia are determined by the Incentive-Based Regulation (IBR) framework and undergo government review and approval.

TNB's corporate tax liabilities do not automatically result in increased costs to consumers via electricity tariffs. The additional tax claim also does not impact the company's ability to continue paying dividends, which is contingent on TNB's financial performance, cash reserves, and dividend policy. The government remains committed to safeguarding consumer interests through existing tariff regulatory mechanisms, while ensuring TNB's capacity to deliver safe and reliable electricity supply.