KUALA LUMPUR: The Malaysian Gas Association (MGA) supports the recently announced revision to the natural gas tariff for the non-power sector in Peninsular Malaysia, for the period starting July 1, 2018 to December 31, 2018.
In a statement released today, MGA said it applauds the government’s market liberalisation efforts including deregulation of gas price to achieve a market-based pricing.
MGA secretary general, Rosman Hamzah said the association is committed to facilitating the growth of the industry and views this announcement as a progressive step by the government to further develop a vibrant gas market.
“Aligning the domestic gas price with the international market creates a competitive and dynamic environment, which promotes efficient resource allocation and utilisation, ensuring Malaysia’s energy security.
“We are confident that in the long run, a level playing field will increase participation and pave the way for stronger socio-economic progress in the country,” he added.
The revision, as approved by Energy Commission, was announced by Gas Malaysia Bhd today, with the average natural gas base tariff for the non-power sector in Peninsular Malaysia set at RM31.92/MMBtu for the period beginning July 31, 2018 to December 31, 2018, with a RM 0.77/MMBtu Gas Cost Pass Through (GCPT) surcharge resulting in an average effective tariff of RM 32.69/MMBtu.
MAG said it will continue to enhance awareness on the benefits of natural gas, increase acceptance on Malaysia’s gas market reforms and facilitate growth of the natural gas industry.