Effective 1 July 2025, Tenaga Nasional Berhad (TNB) will increase the base electricity tariff in Peninsular Malaysia by 13.64%, raising it from 39.95 sen/kWh to 45.4 sen/kWh. This marks the start of Regulatory Period 4 (RP4)—a three-year initiative aimed at modernising Malaysia’s power infrastructure and accelerating the shift toward cleaner energy.
What does this mean for you?
Higher electricity bills for users with usage more than 1,500kWh per month.
But there’s a smarter way forward. By switching to solar energy with Solartech, you can protect yourself from rising costs, enjoy monthly installments, and gain full ownership of your system—turning your rooftop into a long-term source of savings.
Click here for an estimated calculation for domestic electricity bill based on the new TNB tariff.
Why Is the TNB Tariff Increasing?
The last adjustment to Malaysia’s base electricity tariff was back in 2014. Since then, demand for electricity has surged, and much of the national grid infrastructure has aged. To address these challenges, TNB is committing RM42.9 billion in capital expenditure from 2025 to 2027 under Regulatory Period 4 (RP4).
This investment focuses on:
Upgrading the national grid to improve reliability
Expanding Malaysia’s renewable energy capacity
Supporting smart technologies like battery storage, electric vehicles, and smart grid systems
These initiatives align with the National Energy Transition Roadmap (NETR)—Malaysia’s plan to build a low-carbon, future-ready energy landscape. However, these upgrades come with a short-term cost that will be passed down to consumers through higher electricity tariffs.
As reported by Energy Watch, TNB’s broader mission includes transforming power generation, enhancing grid resilience, and enabling consumers to participate in the energy transition. This includes:
Diversifying its energy mix with renewables
Exploring advanced solutions like floating solar and green hydrogen
Accelerating the retirement of coal-fired power plants
While these changes pave the way for a cleaner energy future, they also contribute to the current tariff increase.
The True Impact On Your Monthly Bill
If your electricity usage exceeds 1,500 kWh, you can expect higher bills due to increased generation and capacity charges.
That’s money that could be going toward groceries, children’s education, or savings.
And if you’re a small business owner—running a café, clinic, or home office—you’ll likely feel the pinch too. Even modest increases in electricity bills can quickly eat into your profits.
Rising Fuel Costs and Demand = Uncertain Future
Electricity prices are being driven up by more than just infrastructure investment. Malaysia still relies heavily on fossil fuels like coal and gas—both vulnerable to global price fluctuations.
TNB uses the ICPT (Imbalance Cost Pass-Through) mechanism to adjust tariffs based on fuel costs. So even after July 2025, you may still see future increases if global prices spike again.
Add to that the increasing demand from EVs, air conditioners, and new developments, and the pressure on the grid will only continue to rise.
Solar Power: A Smarter Way to Save
This is where solar energy changes the game.
By installing a solar PV system at home, you generate your own electricity and significantly reduce your reliance on TNB. No more TNB tariff shocks—just predictable savings and energy independence.
With Solartech, switching to solar is easier and more affordable than ever:
- ✅ Reduce Electricity Bills by Up to 95%
- ✅ Return Of Investment as Early as 3 Years
- ✅ Flexible Installment Plans – Up to 24 Months
It’s not just a green decision—it’s a smart financial move.
What You Get With Solartech
We go beyond panels. When you choose Solartech, you get long-term peace of mind:
- 🛠️ Up to 25 Years Warranty
- 🧼 2 Years FREE Cleaning & Maintenance
- 🔒 System Insurance Available
- 🔧 Top-Tier Technology and Certified Installers
With over 45 years of experience in the Solar Thermal industry, Solartech is a trusted name in sustainable energy solutions.
About Solartech :
- A Local Manufacturer of Solar Water Heaters
- ISO 9001 & ISO 14001 certified for quality and environmental management
- Accredited by SEDA Malaysia, CIDB, and Suruhanjaya Tenaga
Backed by decades of innovation and compliance, we’re committed to delivering reliable solar solutions you can trust.
Don’t Wait Until Your Bill Rises
The TNB tariff hike is coming. But you don’t have to sit back and accept higher bills. With Solartech, you can lock in long-term savings and protect yourself from rising energy costs—starting today.
Make the switch before July 2025.
Ready to go solar? Let’s get started.
