KUALA LUMPUR: Oct 10, 2026 – The Federal Government has finalised the full handover of regulatory authority over Sabah’s electricity supply.
The move is part of 12 key matters under the Malaysia Agreement 1963 (MA63) that have been successfully resolved, Prime Minister Datuk Seri Anwar Ibrahim said when tabling Budget 2027 in the Dewan Rakyat yesterday.
He explained that although regulatory authority is fully devolved to the state administration, the Federal Government will continue to provide funding support to ensure energy supply stability throughout Sabah.
“Electricity regulatory authority is handed over to Sabah, while the Federal Government is still providing RM600 million to guarantee continuity of supply,” he said.
Besides the handover of utility regulatory power, Anwar also announced that formal negotiations with the Sabah and Sarawak governments will continue to finalise a fairer and more sustainable annual Special Grant formula.
