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RM 64.1 MILLION SAVINGS FROM SAVE REBATE PROGRAMME BY KeTTHA IS MISLEADING

PRESS RELEASE
Date: 14 NOVEMBER 2013 (THUSDAY)

RM 64.1 MILLION SAVINGS FROM SAVE REBATE PROGRAMME BY KeTTHA IS MISLEADING

Minister of Energy, Green Technology and Water (KeTTHA) Datuk Seri Panglima Maximus Ongkili has informed a RM 64.1 million saving via Save Rebate Programme on 6th November 2013 in the Parliament. This figure is VAGUE due to a valid reason admitted by the officers of KeTTHA during a consultation process by Association of Water and Energy Research Malaysia (AWER) in year 2011.

During the consultation process, the officers admitted that they NEVER conduct an independent market survey of actual product price for energy efficient air conditioners and refrigerators prior to the implementation of SAVE Rebate Programme. They collected the products' price from the participating companies. Therefore, it is IMPOSSIBLE for them to claim such a savings. How would one know if the price offered is the best price? What happens if the businessmen raise the price and rebate based on SAVE project's rebates? AWER did notice increase in prices for energy efficient products in participating outlets. Some of the energy efficient products (same brand and same model) can be purchased few hundred Ringgit lower than the rebated price in non-participating outlets. So, are we really saving or being short-changed? The same problem happened when KeTTHA announced the phase out of incandescent bulbs programme in year 2010. The officials did not do any independent market survey on the quantity of incandescent bulbs sold annually and claimed the phase out programme can save 1074 GigaWatthours (GWh) of electricity and RM 336 million in electricity consumption expenditure as well as reduce 732,000 tonnes of CO2 (carbon dioxide) emission. They could have just checked with Department of Statistics (DOS) for the quantity of incandescent bulbs consumed annually. If they have checked with DOS earlier, they would have realised that they are ONLY 16% correct with their numbers!

Similarly, based on our study, the electrical and electronic products are being sold at fixed price in Malaysia. This means, we are paying price that are fixed and retail outlets are not allowed to sell certain products below a set price. IF RETAIL OUTLET THROW PRICE (REDUCE PRICE), THEY WILL BE PENALISED BY THE SUPPLIERS.

In addition to that, when this project was launched, it targeted buyers with electricity consumption within 200 to 400 kWh. Consumers that fall within this electricity consumption range are possibly a family that already have 1 air conditioner, a fridge with all the other basic electrical items at home. If a new air conditioner is purchased, the overall electricity consumption of this family will increase. For family that has no air conditioner, their electricity consumption is always lower. Now, their electricity consumption will definitely increase if they purchase a new air conditioner. Besides this, SAVE project is not a replacement programme for old and inefficient products that are already in use. It is a sales oriented project. Therefore, the project indirectly has increased overall electricity consumption for domestic sector in Malaysia which defeats its objective to reduce electricity consumption. Now, HOW DID THE CONSUMERS SAVE 246.4 GWh OF ELECTRICITY AND REDUCE 167,600 TONNES OF CO2 EMISSION AS CLAIMED BY KeTTHA?

AWER's question to KeTTHA minister: Who mislead YB to mislead the parliament? Please do not keep silent as how the ministry swallowed the FAKE announcement in year 2012 that government can save RM 800 million from changing all government buildings' lights to LED. IS KETTHA ISSUING FAKE NUMBERS TO GET MORE BUDGET TO IMPLEMENT EVERY YEAR?

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