Gas tariffs will drop by 5 – 9% from January 2023 says Minister of Economy, Rafizi Ramli who adds the reduction is part of the regulatory framework of the gas market in the country, under the Incentive Based Regulation (IBR) framework.
Gas Tariffs and RP2
Rafizi said, the new tariff for gas facilities from 1 January 2023 to 31 December 2025 involves four gas facilities which are regasification terminals owned by Regas Terminal (Sg. Udang) Sdn. Bhd. (RGTSU), a regasification terminal owned by Pengerang LNG (Two) Sdn. Bhd. (RGTP), a transmission pipeline owned by PETRONAS Gas Bhd. (PGB) and distribution pipeline owned by Gas Malaysia Distribution Sdn. Bhd. (GMD).
Gas Tariffs savings
Depending on the volume of gas consumption, the reduction in the average tariff of the gas facility is projected to translate into savings.