SHAH ALAM, August 20: The Federation of Malaysian Consumers Associations (FOMCA) is worried that there will be a drastic increase in the prices of goods and services when Tenaga Nasional Berhad (TNB) and the government raises electricity tariffs.
The Communications Director of the Federation of Malaysian Consumers Associations (FOMCA), Mohd Yusof Abdul Rahman said, the increase in electricity tariffs will affect industries which will pass on the cost increases to the consumers in the form of raising the prices of goods and services.
“We are worried about the effects that will happen to consumers who have to bear the price increase of electricity tariffs at home and at the same time, have to deal with the increase in goods,” he said when contacted by TVSelangor.
Mohd Yusof said that TNB needs to be transparent and provide answers to the people about the price paid to Independent Power Producers (IPPs) which may be among the factors of the increase in TNB’s operating costs.
“If the cost being paid to IPPs can be reduced, then TNB operation costs can be reduced indirectly and not burden TNB,” he said.
He added that consumers cannot do anything to overcome the problem when there is an increase in electricity tariffs because it is a basic need in everyday life.
He said that the lower income group will be severely affected if there is a rise in electricity tariffs.
He explained that social stakeholder companies like TNB should not only focus on profit alone without considering their social responsibility to the people.