{
  "id": 8806281,
  "title": "TNB may absorb up to RM150mil in extra fuel costs for households",
  "url": "https://urgent.news/2026/09/21/tnb-may-absorb-up-to-rm150mil-in-extra-fuel-costs-for-households",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-21T00:51:35.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/business/corporate/2026/09/1537270/tnb-may-absorb-rm150mil-extra-fuel-costs-households"
  },
  "original_language": "en",
  "account": "Tenaga Nasional Bhd (TNB) plans to allocate between RM120 million and RM150 million to mitigate extra fuel costs for approximately 20% of residential customers consuming 600-800 kilowatt-hours (kWh) of electricity monthly, according to RHB Research. Analyst Max Koh estimates the allocation to account for 2% to 3% of the utility company's FY26 earnings forecast. The extension of electricity bill exemptions aims to protect more households from rising electricity costs, shielding 90% of residential consumers from higher fuel prices. Koh anticipates minimal impact on TNB's earnings due to the allocation's modest size relative to the company's FY26 earnings forecast. TNB's share price has declined 12% from its recent high, presenting a buying opportunity. The ETR is expected to fall to 18% in the fourth quarter of FY26, offsetting the additional subsidy. Lower coal and gas prices may also alleviate pressure on TNB. The Energy Commission expects coal prices to remain at US$122 per tonne and gas prices at RM59 per million British thermal units. The government may utilize funds from the Electricity Industry Fund (KWIE) to subsidize fuel costs, with an estimated balance of RM1.7 billion. Koh maintains a Buy rating on TNB with a target price of RM16.50 and an estimated FY26 dividend yield of about 4%.",
  "summary": "KUALA LUMPUR: Tenaga Nasional Bhd (TNB) is expected to allocate RM120 million to RM150 million to absorb additional fuel costs for more households between September and December, according to RHB Research.",
  "key_points": [
    "TNB to allocate RM120M-150M for extra fuel costs",
    "Protects 90% of households from rising electricity costs",
    "ETR expected to fall to 18% in Q4 FY26"
  ],
  "editors_take": "The allocation by TNB to mitigate extra fuel costs for households means 90% of residential consumers will be shielded from higher fuel prices, with minimal impact on TNB's earnings.",
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}