Understanding TNB’s AFA Rate for December 2025 (AFA Rate Update)

Understanding TNB’s AFA Rate for December 2025

Since 1 July 2025, TNB’s electricity tariff for consumers in Peninsular Malaysia has incorporated a new component: the Automatic Fuel Adjustment (AFA).  The AFA replaces the previous six-monthly adjustment system (ICPT), and now adjusts every month to reflect global fuel prices (coal, gas, etc.) and foreign exchange rates. 

What this means: your electricity bill can go up or down each month, even if your consumption stays the same. AFA acts like a floating surcharge or rebate on top of your base tariff. 

What’s the AFA Rate for December 2025?

• For December 2025, the AFA rate has been set at –6.42 sen/kWh  i.e. a rebate (a reduction in tariff per unit consumed).

• That is a shift from November 2025, which had a deeper rebate at –8.91 sen/kWh. 

Here’s a quick look at how the AFA rate has moved through 2025 (so far):

How the New Tariff Structure Works

With the 2025 tariff reform, your monthly bill from TNB is now broken down into several components: 

• Energy (Generation) Charge: the cost of the electricity you use.

  • 27.03 sen/kWh for up to 1,500 kWh/month.

  • 37.03 sen/kWh for consumption beyond 1,500 kWh/month. 

• Capacity Charge: fixed 4.55 sen/kWh for all consumption. 

• Network (Grid) Charge: fixed 12.85 sen/kWh. 

• Retail Charge: a flat fee (RM10/month), but waived for households consuming 600 kWh/month or less.

• AFA (Fuel Adjustment): this month’s variable adjustment; for December 2025: –6.42 sen/kWh (for eligible households).
   

Important exemptions or protections:

• Households using 600 kWh/month or less are exempt from both the AFA charge and the retail charge. 

• For households using more than 600 kWh, AFA applies: so the rebate will subtract from total energy cost.
   

What It Means for Households (Like in Cyberjaya)

• If your household usage is light (≤ 600 kWh/month): likely the case for a small family or apartment: you don’t pay AFA anyway. That means a stable bill unaffected by monthly fuel-price swings.

• If your usage is moderate to heavy (> 600 kWh): e.g. multiple air-conds, large flats, heavy appliance use: then the –6.42 sen/kWh rebate for December 2025 works in your favor. You’ll pay slightly less per kWh than the energy + capacity + network + retail base cost.

• Compared to earlier in 2025, when AFA was neutral (July) or small rebate (Aug/Sep), the larger rebates in Oct–Dec mean meaningful savings if your consumption is high.

For example: with a household consuming 1,500 kWh in a month, the base (energy + capacity + network) might be ~44.43 sen/kWh before AFA. Subtract the –6.42 sen/kWh rebate → effective rate ~38.01 sen/kWh (before retail). This could translate to decent ringgit savings for heavy electricity users.
 

Why AFA Matters, and What You Should Watch

• The AFA ensures your electricity bill reflects global market conditions (fuel and currency fluctuations), making the system more transparent and fair.

• However, because AFA can change monthly, there’s an element of unpredictability in your monthly bill, especially if you have variable electricity usage.

• For households aiming to save, it pays to monitor monthly usage, stay below exempt thresholds (600 kWh) when possible, and adopt energy-efficient habits (efficient appliances, off-peak usage, etc.).

• For those using more, the surprise rebate this December is a good reminder to check bills carefully, sometimes lower than expected.
   

Closing Thoughts & What to Do

If you live in Cyberjaya (or anywhere in Peninsular Malaysia) and receive electricity from TNB, now is a good time to:

• Review your last 2–3 months’ electricity bills, see how AFA impacted them.

• Check if your monthly usage is above or below 600 kWh, this determines whether AFA and retail charge apply.

• Consider energy-saving practices or even switching on more efficient appliances or usage patterns (e.g. using appliances in off-peak hours if you have a smart meter).

• Be ready for monthly tariff fluctuations, but with the December rebate, this holiday season might bring some extra savings.