KUCHING: Sarawak’s 25 per cent electricity discount could ease living costs and support wider domestic spending.
i-CATS University College Faculty of Economy, Business and Accounting lecturer, Muhammad Nor Shafiee Ibrahim, said the move showed a proactive and targeted response to current cost pressures.
He said the measure not only provided immediate financial relief to households, but also helped small businesses stabilise operating costs.
“The clear implementation period also strengthened confidence in the government’s concern and commitment,” he told Sarawak Tribune.
In addition, he said that the initiative had the potential to stimulate domestic spending when higher disposable income was used for other needs.
“The move also reflected the state government’s fiscal capacity to carry out responsive welfare policies while strengthening public well-being amid global economic uncertainty.”
He also pointed to the wider SKAS 2026 assistance package, which he said had been increased to help low-income households, with a total allocation of around RM640 million involving more than one million recipients.
According to him, SKAS assistance rates were raised to between RM300 and RM950 depending on the recipient category to reduce cost-of-living pressure.
He said Sarawak had also implemented various support measures, including utility subsidies and discounts, as part of its strategy to address rising living costs and global inflation.
“The electricity discount of up to 25 per cent had also been used in previous state aid programmes as a mechanism to reduce the burden of household utility bills.
“However, the effectiveness of the initiative would depend on efficient implementation and transparency in delivering the benefits to the target groups.
“The government also needed to ensure a balance between short-term assistance and long-term strategies to safeguard financial sustainability and overall economic stability in the state.”
Overall, Muhammad Nor Shafiee said the 2026 electricity discount was a continuation of Sarawak’s large-scale targeted assistance policy, involving millions of people and hundreds of millions of ringgit, aimed at reducing the impact of inflation and household energy costs.
“If implemented effectively and supported by long-term policies, the initiative could strengthen economic resilience and help ensure more inclusive and sustainable state development.”
