COST OF DOING BUSINESS IN MALAYSIA / PENANG

Cost of Doing Business – January 2015

1 | P a g e

COST OF DOING BUSINESS IN

MALAYSIA / PENANG

Table of Contents

1. Starting a Business

2. Taxation

3. Human Resources

4. Utilities

5. Transportation

Costs

Invest-in-Penang Berhad PSDC Building, 1, Jalan Sultan Azlan Shah,

Bayan Lepas, 11900 Penang, Malaysia

Tel: +604 646 8833 Fax: +604 646 8811

www.investpenang.gov.my

Page

No.

2-9

9

10-15

15-22

23-27


2 | P a g e

Comparative cost of doing business

Location Water Electricity

Office Rents

Legal minimum

wage

Regular gasoline price

Industrial estate (land) purchase

rate

(USD/cu.m3)

(USD/kwH) (price/ sq. m /year, in USD)

(monthly, in USD)

(1 liter, in USD)

(Cost /sq m, in USD)

Malaysia 0.43 0.11 288 296 0.63 30-67

Thailand 0.37 0.11 252 197 1.44 144

Vietnam 0.43 0.09 420 113 1.11 -

Philippines 0.91 0.27 240 220 1.27 98-112

Indonesia 1.01 0.09 276 226 0.71 180-297

Singapore 1.80 0.23 960 - 1.71 209-1,180

China 0.64 0.13 540 231 1.23 143-167

India 0.30 0.12 528 128 1.35 55-91

Source: The 23rd Survey of Investment Related Costs in Asia and Oceania, Japan External Trade Organization (JETRO), FY 2012 Survey Salary Comparison

Location Managers (department chief level)

Engineers (mid-level engineers)

Staffs (Non-manufacturing, general level)

Workers (general workers)

monthly (in USD)

Malaysia 1,966 944 858 344

Thailand 1,574 698 664 345

Vietnam 787 342 418 145

Philippines 1,070 452 493 301

Indonesia 1057 433 423 239

Singapore 4,268 2,325 2,330 1,230

China 1,456 835 824 449

India 1,395 641 562 276

Source: The 23rd Survey of Investment Related Costs in Asia and Oceania, Japan External Trade Organization (JETRO), FY 2012 Survey


3 | P a g e

Cost of Doing Business in Malaysia/ Penang

1. Starting a Business

Main fees to be paid to the Companies Commission of Malaysia (SSM)

RM US$

Reservation of a name 30 9

For registration of a company, fees range according to nominal share capital, e.g.:

• Not exceeding RM100,000 (US$31,250) 1,000 303

• RM100,001 - 500,000 (US$31,250 - 156,250) 3,000 909

• RM500,001 - RM1 million (US$156,250 - US$312,500) 5,000 1,515

• RM1,000,001 - RM5 million (US$312,500 - US$1.6 million) 8,000 2,424

• RM5,000,001 - RM10 million (US$1.6 million - US$3.13 million) 10, 000 3030

• RM10,000,001 - RM25 million (US$3.13 million - US$7.81 million) 20,000 6,061



• Exceeding RM100 million (US$15.63 million) 70,000 21,212

USD 1 = RM3.3 For the full range of fees, please go to CCM's website at www.ssm.com.my Source: MIDA

Recommended Fees for Company Secretarial Services

RM US$

Incorporation of a Sdn. Bhd. (private limited company) 2,000 606

Incorporation of a Bhd. (public limited company) 3,500 1,061

Monthly Fees Professional Fees Retainer Fees

RM US$ RM US$

Private Company:

- Dormant 50 15 100 30

- Semi-active 100 30 150 45

- Active 150 45 300 91

Public Company:

- Non-Listed 200 61 750 227

- Listed 300 91 2,000 606

Consultancy and advisory fee (minimum, per hour)

Minimum RM300(USD 91) per hour or part thereof (subject to negotiation )

USD 1 = RM3.3 Source: MIDA

http://www.ssm.com.my/


4 | P a g e

Rental Rates for Prime Office Space

Location RM US$

Alor Setar, Kedah 21.50 - 27.00 6.52 - 8.18

Georgetown, Penang 27.00 - 30.00 8.18 - 9.09

Ipoh, Perak 10.70 - 20.40 3.24 - 6.18

Kuala Lumpur* 64.60 - 102.25 19.58 - 30.98

Petaling Jaya, Selangor 37.70 - 53.80 11.42 - 16.30

Seremban, Negeri Sembilan 19.40 - 25.80 5.88 – 7.82

Melaka 10.70 - 27.00 3.24 - 8.18

Johor Bahru, Johor 27.00 - 32.30 8.18 – 9.79

Kuantan, Pahang 13.00 - 27.00 3.94 - 8.18

Kuala Terengganu, Terengganu 21.50 - 27.00 6.52 - 8.18

Kota Bharu, Kelantan 16.00 - 27.00 4.85 - 8.18

Kota Kinabalu, Sabah 27.00 - 32.30 8.18 – 9.79

Kuching, Sarawak 15.00 - 27.00 4.55 – 8.18

USD 1 = RM3.3 The above rates are approximate rentals (gross) per sq. metre per month inclusive of service charge. Note: 1 sq. metre = 10.76 sq.ft. *Rental excludes Petronas Twin Towers Source: MIDA Cost of Prime Office Space in Penang

Penang Island Mainland, Penang

Georgetown (RM psf)

Bayan Lepas/ Bayan Baru (RM psf)

(RM psf)

Rent 1.20-3.50 1.50-2.00

Sale Depends on the owner & agreement

* The above rates are approximate rentals (gross) per sq. metre per month and is subject to change Source: Different consultants in Penang


5 | P a g e

Cost of Industrial Land & Factory

Ready Built Factory Unit

Location Unit Type Built-Up

(sq.ft)

Land Area (sq.ft)

Purchase Price Rental

Bukit Minyak Industrial Park

Semi-Detached 5,834 15,518-22,848 RM630,000 USD 190,909

RM5,251 – 7,000 USD 1,591-2121

Terrace - Standard Unit

2,304 2,594 RM243,000 USD 73,636

RM2,074 USD 628

Corner Unit 2,334 3,417- 6,148 From RM253,000 From USD 76,667

RM2,101 USD 637

Bayan Lepas Industrial Park (Phase IV)

Semi-Detached 5,834 16,221-16,533 RM1,100,000 USD 333,333

RM7,614 USD 2,307

Terrace - Standard Unit

2,303 2,594 RM 420,000 USD 127,273

RM2,994 USD 907

Corner Unit 2,334 4,079-4,585 From RM 460,000 From USD 139,394

RM3,035.00 USD 920

USD 1 = RM3.3 * The information contained herein is subject to change and cannot form part of an offer or contract. Source: PDC

SME Units at Bukit Minyak Industrial Park

The project, consisting of 27 Units of ready-built factory buildings is currently under construction.

Details Cluster Terrace Semi-Detached

Bungalow

Land Area (sq. ft) From 4,634 From 3,149

SOLD OUT

From 11,732

Built-up Area (sq. ft) 2,599 3,087 4,482

Price per unit (RM) FromRM 845,000

USD 256,061

From 973,000

USD 294,849

From 2.05 mil

USD 0.62mil

Leasehold tenure: 60 years

USD 1 = RM3.3 * The information contained herein is subject to change and cannot form part of an offer or contract. Source: PDC


6 | P a g e

SME Village Batu Kawan

The project will be developed in phases and is currently under construction.

Details Terrace Semi- Detached

Land Area (sq. ft) 3,600 12,000

Built-up Area (sq. ft) 2,575, 7,270

Rental per unit per month RM 3,860 @ 1.50 p.s.f

USD 1170

RM 13,000 @ 1.80 p.s.f

USD 3939

Price per unit RM 880,000

USD 266,667

RM 2,750,000

USD 833,333

USD 1 = RM3.3

* The information contained herein is subject to change and cannot form part of an offer or contract. Source: PDC

Cost of Ready-built Factory in Penang

Type Location RM USD

Selling price per ft² of floor area

Penang

RM168.00 - 400.00 *Depends on the owner &

agreement

US$50.90 - 121.21 *Depends on the

owner & agreement

Mainland

RM 141.00 - 330.00 *Depends on the owner &

agreement

US$42.72 – 100.00 *Depends on the

owner & agreement

Rental per ft² per month

Bayan Lepas/ Bayan Baru

RM1.50 - 3.53 US$0.45 - 1.07

Mainland RM0.70 -2.50 US$0.21 - 0.52


Cost of Industrial Land

Location

Selling Price (per sq. ft.) (Subject to change)

RM USD

Penang Science Park 40.00 12.12

Bukit Minyak Industrial Park 40.00 12.12

Batu Kawan Industrial Park 40.00 12.12

USD 1 = RM3.3 Source: PDC

http://www.pdc.gov.my/


7 | P a g e

Property Assessment Property assessment, also known as assessment rates is a form of taxation imposed by the local municipal council on all properties based on the 'Annual Value' and the Annual 'Percentage Rate'. The percentage rate is fixed annually by the Council according to its annual budgetary needs. The assessment rate payable for rateable properties is calculated with the following formula: Assessment rate = Annual Value x Rate % Property Assessment Rate (Penang Island)

Type of Property Assessment Rate

Landed (Residential) 9.30%

Low Cost (Residential) 7.50%

Apartment /Condominium (Residential) 8.50%

Commercial 11.55%

Industrial 14.75%

Hotel 14.75%

Associations / Kongsi 7.00%

Land for Development (Urban Areas) 5.50%

Land for Development (Rural Areas) 2.70%

Agricultural (Rural Areas) 1.00%

Golf Club/ Turf Club 14.75%

Source: Majlis Perbandaran Pulau Pinang, MPPP Property Assessment Rate (Mainland)

Type of Property Assessment Rate

Residential Scheme: -Landed Residential (inclusive of landed low cost) 8.00% -Strata Except Low Cost 7.00% -Low Cost Strata 5.00%

Village Residential 0.40%

Commercial -Urban 10.75% -Rural 8.25%

Industrial 11.25%

Light Industry 10.75%

Agricultural SME 8.05%

Agricultural Land 0.00%

Development Land 3.10%

Association/Organization -Urban 9.50% -Rural 7.00%

Golf Course 11.25%

Source:Majlis Perbandaran Seberang Perai, MPSP


8 | P a g e

Quit Rent (a) Town Land (b) Country Land

Location Industrial Purpose Location Industrial Purpose

Georgetown RM1.29 m2 minimum RM300 per lot

Prai RM 1.08 m2 minimum RM150 per lot

Jelutong -same- Valdor -same-

Air Itam -same- Bukit Minyak -same-

Gelugor -same- Bukit Panchor -same-

Bukit Bendera -same- Tasek -same-

Butterworth -same- Seberang Jaya -same-

Prai -same- Bayan Baru -same-

Tanjong Bungah -same- Batu Maung RM0.65m2 minimum RM100 per lot

Batu Ferringhi -same- Sungai Ara -same-

Bukit Mertajam -same- Batu Kawan -same-

Bayan Lepas -same- Sungai Rambai -same-

Balik Pulau RM1.08 m2 minimum RM200 per lot

Bertam -same-

Nibong Tebal -same- Simpang Empat -same-

Kapala Batas -same- Areas other than the above

RM0.65 m2 minimum RM80 per lot

Sungai Bakap -same- Source: Penang Lands and Mines Office

Construction labor rates in Penang

Types of Labor Unit

Residential & Commercial Projects

Rate (RM) Rate (USD)

1 Concretor per 8 hour day 98.00 29.70

2 Bricklayer per 8 hour day 90.00 27.27

3 Tler per 8 hour day 107.00 32.42

4 Carpenter per 8 hour day 100.50 30.45

5 Barbender per 8 hour day 97.20 29.45

6 Welder per 8 hour day 85.00 25.76

7 Plasterer per 8 hour day 98.50 29.85

8 Plumber per 8 hour day 97.50 29.55

9 Painter per 8 hour day 98.50 29.85

USD 1 = RM3.3 Source: CIDB


9 | P a g e

Average Construction Costs of Factory Building (per sq. ft.)

Penang Island Mainland

RM US$ RM US$

Factory with reinforced concrete structure 200-270 60.61 - 81.82 190 - 265 57.58 - 80.30

Steel portal frame on reinforced concrete 220-300 66.67 - 90.91 200 - 295 60.61 - 89.39

Factory with clean room facilities 270-350 84.38 - 109.38 260 - 360 78.79 - 109.09

USD 1 = RM3.3 Source from different consultants Additional Information: Unit Cost also very much depending on cleanroom class, floor loading, column spacing and building height which already include the MEP(Mechanical, Electrical, and Plumbing) rates as follow: Mechanical estimate. No or negligible cost variance between Penang island and mainland.

Types RM per sq. ft USD per sq. ft

1 Clean room and ACMV(Air Conditioning and Mechanical Ventilation)

137.00 41.52

Assumptions: Chilled water system (CH’s, CT’s, piping and fittings within chiller plant room)

45.00 13.64

Clean room floor, ceiling, plenum, wall 32.00 9.70

Clean room electrical outgoing cable, clean room lighting, clean room DB’s

12.00 3.64

Clean room AHU, control, ducting, piping 48.00 14.55

2 Non-clean room ACMV (water-cooled packaged units) 25.00 7.58

3 Fire protection (sprinklers, hydrants, hose reel, conventional FA, etc.)

12.00 3.64

USD 1 = RM3.3 Source from different consultants 2. Taxation

Note: Effective the year of assessment 2004, SMEs with a paid-up capital of RM2.5 million and below are eligible for a reduced corporate tax rate of 20% on the chargeable income of up to RM500,000 and 25% on subsequent chargeable income. Note: As announced in budget 2015,corporate tax rate be reduced by 1 percentage point from 25% to 24% and corporate tax rate for SMEs will be reduced by 1 percentage point from 20% to 19%, from the year of assessment 2016. Source: MIDA

Tax Rate

Company Tax 20% – 25%

Personal Income Tax 0% - 26%

Withholding Tax 3% – 15%

Sales Tax 5% – 10%

Capital Allowance Rate

Initial Allowances 10 %– 40%

Annual Allowances 3% - 40%


10 | P a g e

25%

17%

30% 30%25% 25%

33.99%

26%

20%

37%32%

35%

45%

30.90%

0%5%

10%15%20%25%30%35%40%45%50%

Corporate Tax Personal Income Tax

Source: TaxRates.cc; http://www.taxrates.cc/

3. Human Resources

Minimum Conditions of Employment

The Employment Act, 1955 is the main legislation on labor matters in Malaysia.

Paid maternity leave 60 days

Normal work hours Not exceeding eight hours in one day or 48 hours in one week

Paid holiday At least 11 gazetted public holidays (inclusive of five compulsory public holidays; National Day, Birthday of the Yang Dipertuan Agong, Birthday of Ruler/Federal Territory Day, Labour day and Malaysia Day) in one calendar year and on any day declared as a public holiday under section 8 of the Holiday Act 1951

Paid annual leave for employees:

Less than two years of service 8 days

Two or more but less than 5 years of service 12 days

Over five years of service 16 days

* Minimum paid annual leave to be provided for employees

Paid sick leave per calendar year:

Less than two years of service 14 days

Two or more but less than five years of service

18 days

Over five years of service 22 days

Where hospitalisation is necessary up to 60 days (inclusive of the paid sick leave entitlement stated above)

* Minimum paid annual leave to be provided for employees

http://www.taxrates.cc/


11 | P a g e

Payment for overtime work:

Normal working days one-and-a-half times the hourly rate of pay

Rest days two times the hourly rate of pay

Public holidays three times the hourly rate of pay

Source: MIDA Shift Work: An employee who is engaged under his contract of service in shift work may be required by his employer to work more than eight hours in any one day or more than forty-eight hours in any one week but the average number of hours worked over any period of three weeks, or over any period exceeding three weeks as may be approved by the Director General, shall not exceed forty-eight per week. Souce: International Labour Organization http://www.ilo.org/dyn/natlex/docs/WEBTEXT/48055/66265/E55mys01.htm#c60c

Statutory Contributions

Employees Provident Fund

The compulsory contributions under the Employees Provident Fund (EPF) Act 1991:

Age Group Employers Employees

60 years and below Minimum of 12% of the employees' monthly wages

Minimum of 11% of the employees' monthly wages

60-75 years Minimum of 6% of the employees' monthly wages

Minimum of 5.5% of the employees' monthly wages

All foreign workers and expatriates and their employers are exempted from compulsory contributions. They can, however choose to contribute and the applicable rates are as follows:

Age Group Employers Employees

60 years and below RM5.00 (US$1.52) per employee per month

11% of the employees' monthly wages

60-75 years RM5.00 (US$1.52) per employees per month

5.5% of the employees' monthly wages

USD 1 = RM3.30 Note: Employers’ statutory contribution rate is 13% for employees earning less than RM5,000 (Effective from 1 January 2012) Source: MIDA

Social Security Organisation (SOCSO)

SOCSO administers two social security schemes for workers earning wages not exceeding RM3,000 (US$938) per month. Once covered, workers remain covered irrespective of their wages. However, the maximum contribution is based on wages of RM3,000 (US$938) per month.

http://www.ilo.org/dyn/natlex/docs/WEBTEXT/48055/66265/E55mys01.htm#c60c


12 | P a g e

All Malaysian employees and permanent residents who have been employed by an employer under a contract of service or apprenticeship are liable under SOCSO's act. Categories of employees exempted from SOCSO's coverage are:

• Government employees

• Domestic servants

• Self-employed persons

• Foreign workers

• Business owner and spouses of sole-proprietorship or partnership

Contribution under Employment Injury Insurance Scheme:

• Employers - 1.25% of the employee's wages

• Employees - Nil

Contribution under the Invalidity Pension Scheme:

• 1% of the employee's wages shared equally by the employer and employee.

Source: MIDA

Human Resources Development Fund (HRDF)

HRDF operates on the basis of a levy/grant system. Employers who have paid the Human Resources Development levy will qualify for training grants from the HRDF to defray or subsidise training costs for their Malaysian employees. Manufacturing companies cover under the Human Resources Development Berhad Act, 2001 are as follows:

Categories of Employers Rate of Levy Contributions

Employers with 50 employees and above 1% of employees' monthly wages

Employers with 10 to 49 employees and a paid-up capital of RM2.5 million (US$757,576) and above

1% of employees' monthly wages

Employers with 10 to 49 bemployees and a paid-up capital of less than RM2.5 million (US$757,576), are given the option to register with HRDF

0.5% of employees' monthly wages



13 | P a g e

Employment of Expatriates

An employment pass is issued to expatriate to enable him to stay and work legally in the country. There are two types of passes issued by the Immigration Department subject to the period of employment’s contract and the monthly salary received by the expatriates.

Type of Passes Payment of Fees

A Employment Pass (PG) This pass is issued for key-post and term-post position subject to the following conditions:

minimum period of employment’s contract is (2) years and stamping; and

salary not less than RM3,000 (US$938)

i. Employment Pass:

Key Post RM300 (USD91)

Term Post RM 200 (USD61) ii. Processing Fees RM50 (USD152) iii. Journey Perform Visa RM500 (USD152)

Per post/application (subject to visa entry

requirement according to each country of

origin)

iv. No levy

B Visit Pass Visit Pass (Temporary Employment) is issued only for domestic helpers.

i. PLKS/VP (TE) Pass: RM60 (USD19) per year ii. Levy: RM 410 (USD125) iii. Processing Fees: RM50 (USD16) iv. Journey Perform

Visa (if applicable) RM500(USD152)

USD 1 = RM3.30 Source: MIDA Wage Rates (Monthly)

Position Qualification(s) Experience Minimum Maximum

RM USD RM USD

Finance

Financial Analyst Degree 2-3 years 6000 1,818 8000 2,424

Accountant Degree/

Professional Cert 4-5 years 5,000 1,515 7,000 2,121

Office support

Front Desk Assistant High School 1-2 years 1,800 545 2,500 758

Data Entry Assistant High School 1-2 years 1,500 455 1,600 485

Despatch High School 1-2 years 1,200 364 1,500 455

Administrator Diploma/Degree 3-5 years 3,000 909 5,000 1,515

Sales, Marketing & Advertising

Customer Service Executive Diploma/Degree 2-3 years 2,300 697 3,000 909

Sales Executive High School/ Diploma/Degree

1-2 years 2,200 667 3,000 909

Marketing Executive Diploma/Degree 2-4 years 3,000 909 4,500 1,364

Marketing Manager Higher

Diploma/Degree 4-5 years 5,000 1,515 8,500 2,576


14 | P a g e

Human Resources

HR Manager Diploma/Degree 6-8 years 8,000 2,424 11,000 3,333

HR Officer / Executive Diploma/Degree 2-3 years 3,000 909 4,500 1,364

HR Assistant High

School/Diploma 1-2 years 2,000 606 3,000 909

Information Technology

IT Executive Degree 2 years 3,500 1,061 4,500 1,364

Programmer Degree 1-2 years 3,800 1,152 5,500 1,667

Help Desk Analyst Degree 2-3 years 4,500 1,364 5,500 1,667

Web Designer Degree 2 years 4,500 1,364 5,000 1,515

Software Engineer Degree 2-3 years 4,500 1,364 6,000 1,818

Systems Analyst Degree 3-5 years 6,000 1,818 8,500 2,576

Business Development Manager

Degree 3-5 years 5,500 1,667 8,000 2,424

Project Manager Degree 6-10 years 9,500 2,879 13,000 3,939

Helpdesk Tech Support (Foreign Languages)

Degree 2-3 years 5,000 1,515 8,000 2,424

Logistic & Warehousing

Shipping Supervisor Diploma/Degree 3-5 years 2,500 758 4,000 1,212

Warehouse Executive Diploma 2-3 years 2,200 667 4,000 1,212

Buyer Diploma/Degree 2-3 years 3,500 1,061 5,000 1,515

Logistic Coordinator Diploma/Degree 3-5 years 3,000 909 5,000 1,515

Warehouse Manager Diploma/Degree 4-5 years 6,000 1,818 8,000 2,424

Engineering & Technical

QA Inspector Degree 2-4 years 3,500 1,061 5,500 1,667

Electrical Technician Technical Diploma 2-3 years 2,000 606 2,800 848

Sales Engineer Technical/ Diploma/ Degree

2 years 3,500 1,061 5,500 1,667

Mechanical Engineer Engineering

Degree 2-3 years 4,500 1,364 6,500 1,970

Product Engineer Engineering

Degree 3-5 years 4,000 1,212 7,500 2,273

Service Engineer Degree 3-4 years 3,800 1,152 6,000 1,818

Technical Manager Technical/ Diploma/ Degree

3-6 years 6,500 1,970 8,500 2,576

Assembly Engineer Degree 2-3 years 2,500 758 5,500 1,667

R&D Engineer Diploma/Degree 2-3 years 3,500 1,061 5,500 1,667

USD 1 = RM3.30 Note: Salary figures are industry average. Figures may vary according to depth of expertise and experience. Source: Malaysia Employment Outlook & Salary Guide 2014/15 by Kelly Services


15 | P a g e

0

1000

2000

3000

4000

Malaysia Singapore India Philippines

Salary Comparison in Engineering Field (USD)

Manager

Senior executive

fresh graduate

Source: Jobstreet Salary Report 2013/2014

Source: Jobstreet Salary Report 2013/2014

USD1= MYR3.2

USD1= SGD1.25

USD1= INR62.45

USD1= PHP43.25


16 | P a g e

4. Utilities

Electricity Rates

This tariff is effective from 1st January 2014 and supersedes the previous tariff schedule which was effective on 12th August 2011.

Tariff Category Unit RM USD

1

Tariff A - Domestic Tariff sen/kWh

For the first 200 kWh (1 - 200 kWh) per month sen/kWh 21.80 sen/kWh 6.61

For the next 100 kWh (201 - 300 kWh) per month

sen/kWh 33.40 sen/kWh 10.12



For the first 100kWh (401 - 500 kWh) per month










For the next kWh (901 kWh onwards) per month


The minimum monthly charge is RM3.00

Tariff B - Low Voltage Commercial Tariff

For Overall Monthly Consumption Between 0-200 kWh/month

For all kWh sen/kWh 43.5 13.18

The minimum monthly charge is RM7.20 (USD 2.37)

For Overall Monthly Consumption More Than 200 kWh/month

For all kWh (From 1kWh onwards) sen/kWh 50.9 15.42


2

Tariff C1 - Medium Voltage General Commercial Tariff

For each kilowatt of maximum demand per month

RM/kW 30.3 9.18



3

Tariff C2 - Medium Voltage Peak/Off-Peak Commercial Tariff

For each kilowatt of maximum demand per month during the peak period

RM/kW 45.1 13.67

For all kWh during the peak period sen/kWh 36.5 11.06

For all kWh during the off-peak period sen/kWh 22.4 10.12

The minimum monthly charge is RM600.00 (USD197.2)


17 | P a g e

Industrial Tariff Category Unit RM USD

1

Tariff D - Low Voltage Industrial Tariff

For Overall Monthly Consumption Between 0-200 kWh/month



For Overall Monthly Consumption More Than 200 kWh/month

For all kWh (From 1kWh onwards) sen/kWh 44.1 13.36


Tariff Ds – Special Industrial Tariff (for consumers who qualify only)



2

Tariff E1 - Medium Voltage General Industrial Tariff


RM/kW 29.6 8.97



Tariff E1s – Special Industrial Tariff (for consumers who qualify only)


RM/kW 23.7 7.18



3

Tariff E2 - Medium Voltage Peak/Off-Peak Industrial Tariff


RM/kW 37.0 11.21






RM/kW 32.9 9.97




4

Tariff E3 - High Voltage Peak/Off-Peak Industrial Tariff


RM/kW 35.5 10.76






RM/kW 29.0 8.79





18 | P a g e

Note: SIT has a 2% higher increase than normal Industrial tariff in line with the Government's effort to gradually phase out the SIT subsidy Note: The revision of the surcharge on electricity bill for the RE Fund from 1.0 per cent to 1.6 per cent is to facilitate the implementation of Feed-in Tariff (FiT) mechanism USD1 = RM3.30 (Source: Tenaga National Berhad)

Water Rate (Penang)

Category RM per 1,000 litres USD per 1,000 litres

Tariff 1: Domestic (Individual)

Minimum charge: 2.50 per month 0.76

WATER CONSERVATION SURCHARGE (WCS)

Consumption above 35,000 liters per month 0.48 0.15

First 20,000 litres 0.22 (no WCS) 0.07

20,001 - 35,000 litres 0.42 (no WCS) 0.13

35,000 - 40,000 litres 0.90 (0.42+ 0.48 WCS) 0.28

40,000 - 60,000 litres 1.00 (0.52+0.48 WCS) 0.30

60,000 – 200,000 litres 1.38 (0.90+0.48 WCS) 0.42

More than 200,000 litres 1.48 (1.00+0.48 WCS) 0.45

Tariff 2: Trade (Ordinary)

Minimum charge: 10.00 per month 3.13 per month

First 20,000 litres 0.66 0.21

20,001 - 40,000 litres 0.89 0.28

40,001 - 200,000 litres 1.15 0.35

More than 200,000 litres 1.27 0.38

Tariff 3: Trade (Special)


Flat rate 1.52 0.46

Tariff 4: Trade (Shipping)


Flat rate 2.54 0.77

Tariff 5: Domestic (Bulk)

Minimum charge: 26.00 per month 7.88

Flat rate 0.35 0.11

USD 1= RM3.30 (Source: Perbadanan Bekalan Air Pulau Pinang Sdn Bhd, as on 2 July 2012) (Penang water conservation surcharge increased from RM0.24 to RM0.48 effectively from 1st September 2013)


19 | P a g e

Comparison of Water Rate by State

State Usage Price per m³ (RM)

Min. Payment/month

(RM)

Penang Industrial/Commercial 0-20,000m3 21-40m3 41 - 200 m3 Above 200m3

0.66 0.89 1.15 1.27

10.00

Selangor Industrial/Commercial 0-35m3

35 m3 and above 2.07 2.28

36.00

Johor Industrial/Commercial 0-35 m³ 35m³ and above

2.60 2.96

25.00

Kedah Commercial 0 - 50 m³ 51 - 200 m³ 201- 350 m³ More than 350 m³

1.40 1.50 1.60 1.80

15.00

Industrial 0 – 1,000m³ 1,001 – 10,000 m³ 10,0001- 50,000 m³ More than 50,001 m³

1.40 1.60 1.80 2.10

15.00

Source:MIDA Sewerage Rates Sewerage services in Malaysia were privatised in 1994 and are managed by Indah Water Konsortium Sdn. Bhd., a company wholly owned by Minister of Finance Incorporated. It operates in 86 Local Authorities areas except those in Johor Bahru, Kelantan, Sabah and Sarawak.

Domestic Customers

Houses receiving connected sewerage services RM8 (US$2.42) per month

Houses with individual septic tanks RM6 (US$1.82) per month

Village/Estate dwelling houses with individual septic tanks or receiving connected sewerage services

RM3 (US$0.91) per month

Low cost dwelling houses and houses with annual value of less than RM600 (US$188) with individual septic tanks or receiving connected sewerage services

RM2 (US$0.61) per month

Industrial Customers

Premises receiving connected sewerage services RM2.50 (US$0.76) per head per month

Premises with individual septic tanks RM2 (US$0.61) per head per month


20 | P a g e

Commercial Customer

Monthly sewerage services charges for commercial premises is the sum of the Basic Charge based on the premises Annual Value and the Excess Charge based on average water consumption in excess of 100 meter cube (m³).

Annual Value of Property Monthly charge for premises receiving

connected sewerage services

Monthly charge for premises with

individual septic tanks

RM US$ RM US$ RM US$

2,000 or less 606 or less 8 2 7 2

2,001 - 5,000 606 - 1,515 14 4 8 2

5,001 - 10,000 1,515 - 3,030 20 6 14 4

10,001 - 20,000 3,030 - 6,060 26 8 19 6

20,001 - 30,000 6,060 - 9,090 29 9 21 6

30,001 - 40,000 9,091 - 12,121 32 10 23 7

40,001 - 50,000 12,121 - 15,151 35 11 25 8

50,001 - 60,000 15,151 - 18,181 38 12 27 8

60,001 - 70,000 18,182 - 21,212 41 12 29 9

70,001 - 80,000 21,212 - 24,242 44 13 31 9

80,001 - 90,000 24,242 - 27,272 47 14 33 10

90,001 - 100,000 27,273 - 30,303 50 15 35 11

100,001 - 200,000 30,303 - 60,606 180 55 120 36

200,001 - 400,000 60,606 - 121,212 495 150 330 100

400,001 - 600,000 121,212 - 181,818 522 158 348 105

600,001 - 800,000 181,818 - 242,424 1,980 600 1,320 400

800,001 - 1,000,000 242,424 - 303,030 2,160 655 1,440 436

1,000,001 - 3,000,000 303,030 - 909,090 4,320 1,309 2,880 873

3,000,001 - 5,000,000 909,091 - 1,515,151 8,800 2,667 5,400 1,636

5,000,001 - 7,000,000 1,515,151 - 2,121,212 9,200 2,788 6,000 1,818

More than 7,000,001 More than 2,121,212 9,600 2,909 6,600 2,000

Monthly Excess Charge

Water Usage Excess Charge

Up to 100 m³ No charge

More than 100 m³ 30 sen (9 US cents) per m³

More than 200 m³ 45 sen (14 US cents) per m³

*The excess charges are subject to an annual revision based on the water consumption data for the previous year obtained from the Water Authority. USD 1= RM3.30 (Source: MIDA)


21 | P a g e

Scheduled Waste Treatment Rates

Kualiti Alam Sdn. Bhd. is a designated company providing off-site scheduled waste treatment disposal services in Peninsular Malaysia. Its waste management centre is located at Bukit Nanas in Negeri Sembilan. Scheduled wastes must be disposed through department of enviroment licensed scheduled waste with recovery contractors. For non-scheduled wastes, collection and disposal rates vary according to location and contractor.

Waste Group Waste Type

A Mineral Oil Wastes Wastes containing lubricating oil, hydraulic oil, etc.

B Organic Chemical Wastes Containing Halogens and/or Sulphur > 1% Freon, PVC wastes, chloroform, solvents, capacitors and transformers containing PCB, etc.

C Waste Solvents Containing Halogens and/or Sulphur < 1% Acetone, alcohols (eg. ethanol, methanol), benzene, turpentine, xylene, etc. Waste should be pumpable, containing < 50% water and 18MJ/kg calorofic value

H Organic Chemical Wastes Containing Halogens and/or Sulphur < 1% Glue, latex, paint, phenol, printing ink, synthetic oils, soap, epoxy, etc.

K Wastes Containing Mercury Mercury, vapour lamps, COD-fluids, mercury batteries, etc.

T Pesticide Wastes Insecticides, fungus and weed killers, rat poison, etc

X Inorganic Wastes Acids, alkaline, sodium hypochlorite, inorganic salts, metal hydroxide sludge, chromate and cyanide waste, etc.

Z Miscellaneous Medicine wastes, lab-packs, asbestos wastes, mineral sludges, isocyanates (MDI,TDI), batteries, etc.

Organic Wastes for Incineration

Waste Group

Packaged Wastes* Bulk Wastes Pumpable liquid

(per tonne)

Solid

(per tonne)

Pumpable liquid

(per tonne)

Solid

(per tonne)

RM US$ RM US$ RM US$ RM US$

A 810 245 - - 630 191 - -

B 3,150 955 3,600 1090 - - -

-

C 1,350 409 - - - - - -

H/Z 1,890 573 2,790 845 1,800 545 2,700 818

T 3,150 955 3,600 1,091 - - - -

*Note: Packaged wastes refers to wastes packed in standard 200-litre drums or 1m3 PP Bags.

USD 1= RM3.30 (Source: MIDA)


22 | P a g e

Liquid Inorganic Wastes for Physical/Chemical Treatment

Waste Group

800-litre Pallet Tank (per tonne)

200-litre Drum (per tonne)

RM US$ RM US$

Acid Wastes Without Chromate (X) 1,440 436 1,620 491

Alkaline Wastes Without Cyanide (X) 1,440 436 1,620 491

Chromate Wastes (X) 1,800 545 1,980 600

Cyanide Wastes (X) 1,800 545 1,980 600

Mercury Wastes (K) 3,600 1,091 3,780 1,145

Inorganic Wastes for Solidification

Waste Group

Packaged Wastes* per tonne

Waste in Bulk per tonne

RM US$ RM US$

X / Z 810 246 765 232

Inorganic Waste for Direct Landfill

Waste Group


Waste in Bulk per tonne

RM US$ RM US$

X / Z 495 150 450 136

Encapsulation

Waste Group (Z)


RM US$

Contaminated Crushed Drum and Other Contaminated Waste 1,500 455

Cementation

Waste Group (Z)


RM US$

Dry Cell Batteries and Other Miscellaneous Wastes 900 273

Source: MIDA


23 | P a g e

Transportation Rates

KM State

Per Pallet Per Metric

Tonne 1st Tier 2nd Tier

min. 18 pallet Above 18 pallet

RM US$ RM US$ RM US$

114 Negeri Sembilan 52.88 16.02 26.44 8.01 66.1 20.03

248 Kuala Lumpur (Wilayah Persekutuan) 59.73 18.10 29.87 9.05 74.66 22.62

274 Melaka 60.71 18.40 30.36 9.20 75.89 23.00

374 Selangor 65.61 19.88 32.8 9.94 82.01 24.85

652 Perak 79.32 24.04 39.66 12.02 99.14 30.04

722 Johor 82.25 24.92 41.13 12.46 102.82 31.16

760 Pahang 84.21 25.52 42.11 12.76 105.26 31.90

1050 Penang 113.59 34.42 56.79 17.21 141.98 43.02

1152 Terengganu 180.17 54.60 90.09 27.30 225.22 68.25

1166 Kedah 181.15 54.89 90.58 27.45 226.44 68.62

1190 Kelantan 183.11 55.49 91.56 27.75 228.89 69.36

1240 Perlis 184.09 55.78 92.04 27.89 230.11 69.73

*Packaged wastes refers to wastes packed in standard 200-litre drums or 1m3 PP Bags. Note: For palletises pickup, the rates are in tier's, the 1st tier for minimum pickup of 18 pallets and the 2nd tier is for any subsequent pallet pickup. from a single consignment CTI request. Source: Kualiti Alam Shd. Bhd. - www.kualitialam.com.my

Natural Gas Tariff

Tariff Category Price (RM/MMBTU)

Applicable Range MMBTU/MONTH (MMBTU/YEAR)

1 Tariff B – Commercial Unit Charge

20.61 0 – 50 mmBtu (0 – 600 mmBtu)

2 Tariff C – Commercial & Industrial Unit Charge

17.64 51 – 416 mmBtu (601 – 5,000 mmBtu)

3 Tariff D – Commercial & Industrial Unit Charge

18.14 417 – 4,166 mmBtu (5,001 – 50,000 mmBtu)

4 Tariff E – Commercial & Industrial Unit Charge

19.00 4,167 – 16,666 mmBtu (50,001 – 200,000 mmBtu)

5 Tariff F – Commercial & Industrial Unit Charge

19.18 16,667 – 62,500 mmBtu (200,001 – 750,000mmBtu)

6 Tariff L – Commercial & Industrial Unit Charge

19.65 >62,500 mmBtu (>750,000mmBtu)

Source: Gas Malaysia Berhad

http://www.kualitialam.com.my/


24 | P a g e

5. Transportation Costs

Container Haulage Rates

Haulage base: Port Klang (North Port)

Area

Haulage Rates

Road Tolls FAF Total

20' & 40'

(RM)

Effective from 1st Jan. 2007

12.47% Period

from 1st May 2006

20' & 40'

(Actual at cost) (RM)

RM US$

PORT KLANG - Shah Alam 444.00 19.80 55.37 519.17 157.32

PETALING JAYA - Sungai Way 504.00 23.20 62.85 590.05 178.80

SELANGOR - Banting 564.00 0.00 70.33 634.33 192.22

PERAK - Tanjung Malim 1,262.00 59.80 157.37 1,479.17 448.23

PENANG - Butterworth/ Seberang Prai 2,402.00 194.80 299.53 2,896.33 877.68

KEDAH - Kulim 2,372.00 240 295.79 2,907.79 881.15

PERLIS - Kangar 2,906.00 240 362.38 3,508.38 1,063.15

NEGERI SEMBILAN - Nilai 968.00 56.40 120.71 1,145.11 347.00

MELAKA - Air Keroh Industrial Area 1,468.00 103.40 183.06 1,754.46 531.65

KELANTAN - Kota Bharu 3,302.00 197.80 411.76 3,911.56 1,185.32

PAHANG - Kuantan 1,940.00 197.80 241.92 2,379.72 721.13

TERENGGANU - Kerteh 2,318.00 197.80 289.05 2,804.85 849.95

JOHOR - Pasir Gudang 2,348.00 211 292.80 2,851.60 864.12

Source: MIDA USD 1= RM3.30


25 | P a g e

Ocean Freight Rates

Rates quoted are subject to: 1. THL/THD/DOC and EDI 2. BAF/ CAF/WAR RISK/ PEAK SEASON surcharges as per Conference announcement.

From Port Klang to : 20-ft container 40-ft container

US$ US$

AUSTRALIA Main ports

950 1,900

CHINA Shanghai

100 200

EUROPE Main ports

900 1,800

INDIA Navasheva

600 1,800

JAPAN Main ports

400 800

KOREA Pusan

400 800

WEST MEDITERRANEAN Main ports

900 1,800

NEW ZEALAND 950 1,900

SOUTH AFRICA 1,300 2,600

USA West Coast Los Angeles

1,725

2,300

USA East Coast New York

2,625

3,500

Source: MIDA Courier Service Rates

Various Malaysian and international companies provide courier services in Malaysia.

Destination Country

Documents Merchandise Max. Weight Limit (kg) First 500 gm Next 500 gm First 500 gm Next 500 gm

RM US$ RM US$ RM US$ RM US$

Australia 60 18.18 15 4.55 75 22.73 14 4.24 20

Germany 70 21.21 20 6.06 100 30.30 19 5.76 23

Japan 47 14.24 12 3.64 64 19.39 15 4.55 30

UK 70 21.21 20 6.06 100 30.30 15 4.55 20

USA 65 19.70 20 6.06 100 30.30 20 6.06 No Limit

Source: MIDA USD 1= RM3.30


26 | P a g e

Penang Bridge

Source: Penang Bridge Sdn Bhd, www.penangbridge.com.my

Penang Second Bridge Toll Rate for Sultan Abdul Halim Mu’adzam Shah Bridge Users from the Mainland (Batu Kawan) going to the Penang Island (Batu Maung) via the Sultan Abdul Halim Mu’adzam Shah Bridge, the toll will be collected at Sultan Abdul Halim Mu’adzam Shah Toll Plaza and Bandar Cassia Toll Plaza (one way).

VEHICLES CLASSIFICATION TOLL RATES (RM)

TOLL RATES (USD)

Class 0 Vehicles: Vehicles with two axels and two wheels

1.70 0.52

Class 1 Vehicles: Vehicles with two axels and three or four wheels (excluding taxi and bus)

8.50 2.58

Class 2 Vehicles: Vehicles with two axels and six wheels (excluding bus)

30.50 9.24

Class 3 Vehicles: Vehicles with three or more axels (excluding bus)

70.10 21.24

Class 4 Vehicles: Taxis

8.50 2.58

Class 5 Vehicles: Busses

26.20 7.94

USD 1= RM3.30

http://www.penangbridge.com.my/


27 | P a g e

Toll Rate for the Link Road

Toll for the Link Road will be collected from users exiting from PLUS Expressway at Bandar Cassia Toll Plaza going to Penang Island via the Sultan Abdul Halim Mu’adzam Shah Bridge or to Bandar Cassia and users entering the PLUS Expressway at Bandar Cassia Toll Plaza. The rates are as follows:

VEHICLES CLASSIFICATION TOLL RATES (RM)

TOLL RATES (USD)

Class 1 Vehicles: Vehicles with two axels and three or four wheels (excluding taxi and bus)

0.60 0.18

Class 2 Vehicles: Vehicles with two axels and six wheels (excluding bus)

0.90 0.27

Class 3 Vehicles: Vehicles with three or more axels (excluding bus)

1.20 0.36

Class 4 Vehicles: Taxis

0.30 0.09

Class 5 Vehicles: Busses

0.50 0.15

USD 1= RM3.30

Source: Jambatan Kedua Sdn Bhd www.jambatankedua.com.my

Penang Port Ferry Tariff

Price structure for the latest tariff of ferry services are as follows :- RM USD

I. Passenger

a. Children age 5 and below 12 years of age 0.60 0.19

b. Adult 1.20 0.38

Monthly ticket (not valid for travel with bicycle)

a. Student (not exceeding 21 years of age) 6.00 1.88

b. Adult 30.00 9.38

II. Bicycle 1.40 0.44

III. Motorcycle 2.00 0.63

IV. Trishaw and Tricycle 3.30 1.03

V. Motorcar including Station Wagon, Four Wheel Drive, Three Wheel Drive, Three Wheel Commercial Vehicle and Motorcycle with Side Car.

7.70 2.41

Vl. Lorry, Van and Bus

a. Vehicle with 2 axles and 4 wheels 13.20 4.13

b. Vehicle with 2 axles and 6 wheels 27.50 8.59

USD 1= RM3.30 Source : Penang Port Commission

http://www.jambatankedua.com.my/