FAQs

Legal

The Energy Commission was formed under the Energy Commission Act 2001 and is empowered to regulate under the energy supply laws as follow:

  • Electricity Supply Act 1990
  • Electricity Regulations 1994
  • License Supply Regulations 1990
  • Gas Supply Regulations 1997
  • Gas Supply Act 1993
  • Efficient Management of Electrical Energy Regulations 2008

The energy supply laws are applicable in Peninsular Malaysia and Sabah. Sarawak has its own energy laws and regulator.

The Minister responsible for electricity supply is Minister of Energy, Green Technology and Water whereas the Minister responsible for gas supply is the Prime Minister.

The authority to make regulations under these Acts is given to the respective Ministers responsible.

The Electricity Supply Act 1990 applies to persons including the public, consumers, competent persons and licensees involved in the electricity supply industry and to activities relating to the supply of electricity, pricing, licensing of installations, control of electrical installations, plant and equipment, matters relating to safety of persons and property and efficient use of electricity.

The Gas Supply Act 1993 applies to persons including the public, consumers, competent persons and licensees involved in and to activities relating to the supply of gas through pipelines, pricing, control of gas supply pipelines, installations and appliances and matters of safety of persons and property.

Under section 54 of the Electricity Supply Act 1990, the Minister may by notification in the Gazette exempt any installation or part thereof, owned or worked by or on behalf of any supply authority or any other particular class of installation, plant or equipment from the provisions of the Act.

By Exemption Order P.U.(B) 156/1994 which took effect from 1.4.1994, the Minister exempts :

  • any person who uses, works or operates or permitted to be used, worked or operated any installation using its own source of generation and the capacity of the generator is 5 kilowatt or less, from the requirement of licence;
  • any person who is not the owner or operator of an installation receiving electricity from a licensee or supply authority with a generator connected to provide stand by electricity in the event of failure of the primary source of supply or the owner or operator of an installation receiving electricity from a licensee or supply authority at a voltage of 11,000 or more volts, from the requirement of registration of the installation; and
  • any person who does not work or operate or is not in control of –
    - any licensed installation;
    - any installation or electrical plant equipment operating at higher than low voltage;
    - any installation or electrical plant equipment operating at low voltage and receiving electricity via a switchgear of rating of 100 ampereas or more; or
    - any installation or electrical plant equipment generating more than 5 kilowatts of electricity, from the requirement of having qualifications and competency certificate.

By Exemption Order P.U.(B)324/2006 which took effect from 2.1.2002, the Minister exempts any installation owned or operated by the Federal Government, State Governments and local authorities from:

  • payment of registration fees for issuance of Certificate of Registration or renewal thereof for that installation;
  • payment of fees for inspection and testing of the installation for purpose of registration of such installation.

Under section 42 of the Gas Supply Act 1993, the Minister may by notification in the Gazette exempt any person or class of persons from being licensed under the Act and/or from the requirement of work of installing, constructing, maintaining, repairing or operating any gas pipeline or installation or part thereof to be carried out or supervised and certified by a competent person.

By Exemption Order P.U (B) 307/2012 which took effect from 30.7.2012, the Minister exempts any installation licensed under Section 9 of the Act from the registration of such installation as provided under Section 21 of the Act.

Under the Electricity Supply Act 1990, offences and their punishment are provided in sections 8, 23, 33, 37, 45, 49, 50 and 52. Under the Electricity Regulations 1994, regulation 122 makes it an offence for any person who contravenes or fails to comply with any provisions of the Regulations and provides the punishment on conviction.

Under the Gas Supply Act 1993, offences and their punishment are provided in sections 5, 29, 30, 31 and 36. Under the Gas Supply Regulations 1997, regulation 142 makes it an offence for any person who contravenes the Regulations and, on conviction, is punishable under section 31 of the Act.

Under the Electricity Supply Act 1990, section 43(1) allows the Chairman of the Commission with the written consent of the Public Prosecutor to compound offences under sections 8, 37(9), 37(10), 37(12), 37(13), 37(14), 45, 45 and 49(5) of the Act or any regulations made under the Act at not exceeding 50% of the maximum fine for the particular offence.

Under the Gas Supply Act 1993, section 34(2) allows the Chairman of the Commission with the written consent of the Public Prosecutor to compound any offence under the Act or any regulation which has been prescribed as may be compounded by order of the Minister in the Gazette at not exceeding 50% of the maximum fine for the particular offence.

By Order of the Minister P.U.(A)320/2006 which took effect from 1.9.2006, all offences under the Gas Supply Act 1993 and the regulations made under the Act may be compounded except offences under subsections 5(4), 29(5) and 30(3) of the Act.

Under the Electricity Supply Act 1990, section 33 requires that whenever any accident or fire causing or resulting in loss of life or hurt to any person or serious damage to property has occurred in connection with any installation or electrical plant or equipment, the owner, licensee or supply authority and the management thereof must report the accident or fire to the Commission by the quickest means available, and subsequently with the least possible delay report in writing to the Commission the facts of the matter so far as they are known to them respectively.

Under the Gas Supply Act 1993, section 36 requires that whenever any accident or fire causing or resulting in loss of life or hurt to any person or serious damage to property has occurred in connection with any pipeline or part thereof, the consumer or the licensee must report the accident or fire to the Commission by the quickest means available, and subsequently with the least possible delay report in writing to the Commission the facts of the matter so far as they are known to them respectively.

Under the Electricity Supply Act 1990, any party to any dispute pertaining to sections 24 to 29 of the Act may refer the dispute to the Energy Commission for decision whereby the Commission shall determine the dispute and make an order under section 30 of the Act. Where the Commission thinks fit, the dispute may be determined by an arbitrator to be appointed by the Commission.

Pending the determination of any dispute under sections 24 to 29 of the Act between a licensee and a person requiring a supply of electricity, the licensee shall continue to give the supply until the determination of the dispute. Any order made by the Commission may include a provision requiring either party to pay the costs and expenses incurred by the Commission or the arbitrator, as the case may be, in determining the dispute.

Under the Gas Supply Act 1993, where a dispute arises between the licensee and the consumer pertaining to sections 13 to 21, the dispute may be referred to the Commssion under section 29 of the Act. The Commission

  • shall determine the dispute and make an order; or
  • may decide in the case of a contractual dispute that the dispute be determined according to any provision for determination of dispute under the agreement or be determined by the court; or
  • shall determine that, with the approval of the Minister, a committee of enquiry consisting of 3 members and led by a person appointed by the Minister be formed to inquire into the dispute.