Natural resources, environment and climate change minister Nik Nazmi Nik Ahmad said there is a need to move towards targeted subsidies.

He was replying to a question in Dewan Rakyat from Takiyuddin Hassan (PN-Kota Bharu), who wanted to know whether there will be increases in electricity tariff surcharges.

Nik Nazmi said targeted subsidies are given in Singapore to users from certain income groups.

“(In Malaysia), we maintain the same rate for T20 domestic users, and I feel that we need to rethink this,” he said, adding that those earning higher salaries should be paying more.

Nik Nazmi also said his ministry will propose fairer and better tariff rates for utility companies affected by increases in tariff surcharges for high and medium-voltage non-domestic users.

The better rates will be introduced in the next Imbalance Cost Pass-Through (ICPT) cycle, he said.

He also said Malaysia can no longer afford to continue subsidising corporations, especially those reaping huge profits.