Cost of Doing Business - Invest · PDF fileMelaka 10.70 - 27.00 3.34 - 8.44 ... Bukit Minyak...

Cost of Doing Business

2013

Copyright 2013 Invest-in-Penang Berhad

Cost of Doing Business (July 2013)

1

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 9.38

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

• Not exceeding RM100,000 (US$31,250) 1,000 313

• RM100,001 - 500,000 (US$31,250 - 156,250) 3,000 938

• RM500,001 - RM1 million (US$156,250 - US$312,500) 5,000 1,563

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

• RM5,000,001 - RM10 million (US$1.6 million - US$3.13 million) 10, 000 3,125

• RM10,000,001 - RM25 million (US$3.13 million - US$7.81 million) 20,000 6,250



• Exceeding RM100 million (US$15.63 million) 70,000 21,875

USD 1 = RM3.20 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) 2,000 625

Incorporation of a Bhd. (public limited company) 3,500 1,094

Monthly Fees Professional Fees Retainer Fees

RM US$ RM US$

Private Company:

- Dormant 50 16 100 31

- Semi-active 100 31 150 47

- Active 150 47 300 94

Public Company:

- Non-Listed 200 63 750 234

- Listed 300 94 2,000 625

Consultancy and advisory fee

(minimum, per hour)

Minimum RM300(USD 94) per hour or

part thereof (subject to negotiation )

USD 1 = RM3.20 Source: MIDA

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


2

Rental Rates for Prime Office Space

Location RM US$

Alor Setar, Kedah 21.50 - 27.00 6.72 - 8.44

Georgetown, Penang 27.00 - 30.00 8.44 - 9.38

Ipoh, Perak 10.70 - 20.40 3.34 - 6.38

Kuala Lumpur* 64.60 - 102.25 20.19 - 31.95

Petaling Jaya, Selangor 37.70 - 53.80 11.78 - 16.81

Seremban, Negeri Sembilan 19.40 - 25.80 6.06 - 8.06

Melaka 10.70 - 27.00 3.34 - 8.44

Johor Bahru, Johor 27.00 - 32.30 8.44 - 10.09

Kuantan, Pahang 13.00 - 27.00 4.06 - 8.44

Kuala Terengganu, Terengganu 21.50 - 27.00 6.72 - 8.44

Kota Bharu, Kelantan 16.00 - 27.00 3.34 - 8.44

Kota Kinabalu, Sabah 27.00 - 32.30 5.00 - 8.44

Kuching, Sarawak 15.00 - 27.00 8.44 - 10.09

USD 1 = RM3.20 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 for Penang Penang Island Mainland, Penang

Georgetown (RM psf)

Bayan Lepas/ Bayan Baru (RM psf)

(RM psf)

Rent 2.00-2.70 2.00-3.60 1.50-2.00

Sale Depends on the owner & agreement

Source: Different consultants in Penang


3

Cost of Industrial Land & Factory

Ready Built Factory Unit

Location Unit Type Built-Up

(sq.ft)

Land Area

(sq.ft)

Rental Rate (psf.)

Bukit Minyak Industrial Park

Semi-Detached 5,834 15,518-

22,848

RM0.90

USD0.28

Terrace (Intermediate) 2,304 2,594 RM0.90

USD0.28

Terrace (Corner) 2,334 3,417- 6,148 RM0.90

USD0.28

Location Unit Type Built-Up

(sq.ft)

Land Area

(sq.ft)

Rental Rate

(psf.)

Bayan Lepas Industrial Park (Phase IV)

Semi-Detached 5,834 16,221-

16,533

RM 1.65

USD0.52

Terrace (Intermediate) 2,303 2,594 RM 1.65

USD0.52

Terrace (Corner) 2,334 4,079-4,585 RM 1.65

USD0.52 USD 1 = RM3.20 Source: PDC

Cost of Ready-built Factory in Penang

Type Location RM USD

Selling price per ft² of

floor area

Penang RM105.65 - 196

*Depends on the owner &

agreement

33.02 - 61.25

*Depends on the owner &

agreement

Rental per ft² per month Bayan Lepas/ Bayan Baru 1.50-2.60 0.47-0.81

Mainland 0.80-2.00 0.25-0.63

USD 1 = RM3.20

Source: MIDA and different consultants in Penang


4

Cost of Industrial Land

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

RM USD

Penang Science Park 30.00 9.38

Bukit Minyak Industrial Park 30.00 9.38

Batu Kawan Industrial Park 30.00 9.38

USD 1 = RM3.20 Source: PDC

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)

No. Type of Property Area 1 Area 2

1. Industrial 13.50% 13.50%

2. Commercial 10.30% 10.30%

3. Landed (Residential) 8.30% 8.30%

4. Strata (Residential) 7.50% 7.50%

5. Low Cost (Residential) 7.00% 7.00%

6. Associations / Kongsi 7.00% 7.00%

7. Development (Vacant Land) 4.50% 1.70%

8. Agricultural (Vacant Land) 0.00% 1.00%

9. Hotel 13.50% 13.50%

10. Small Industry (Agricultural) 6.80% 6.80%

*Area 1 covers the area within the City of George Town and Area 2 covers the area outside the City of George Town. Source: MPPP Property Assessment Rate (Mainland)

No. Type of Property Mainland 1. Industrial 10.00% 2. Small and Medium Industries 9.50% 3. Commercial 7.00% - 9.50% 4. Landed (Residential) 7.00% 5. Strata (Residential) 6.00% 6. Strata (Low Cost) 4.50% 7. Village (Residential) 0.40% 8. Development Land 2.10%

Source: MPSP


5

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

Industrial Projects Residential & Commercial Projects

Rate (RM) Rate (RM)

1 Concretor per 8 hour day 80.00 75.00

2 Mason per 8 hour day 80.00 75.00

3 Bricklayer per 8 hour day 80.00 75.00

4 Drainlayer per 8 hour day 90.00 85.00

5 Pavior per 8 hour day 80.00 75.00

6 Tler per 8 hour day 90.00 85.00

7 Carpenter per 8 hour day 80.00 75.00

8 Barbender per 8 hour day 75.00 65.00

9 Welder per 8 hour day 105.00 100.00

10 Plasterer per 8 hour day 90.00 85.00

11 Plumber per 8 hour day 80.00 75.00

12 Painter per 8 hour day 70.00 65.00

13 Pneumatic tool operator per 8 hour day 75.00 70.00

14 Semi-skilled male labourer per 8 hour day 70.00 68.00

15 Unskilled male labourer per 8 hour day 60.00 58.00

16 Unskilled female labourer per 8 hour day 58.00 55.00



6

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

Penang Island Mainland

RM US$ RM US$

Factory with reinforced concrete structure 200-270 62.5-84.38 190-265 59.38-82.81

Steel portal frame on reinforced concrete 220-300 68.75 -93.75 200-295 62.5-92.19

Factory with clean room facilities 270-350 84.38-109.38 260-360 81.25-112.5

USD 1 = RM3.20


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

1 Clean room and ACMV(Air Conditioning and Mechanical Ventilation) 137

Assumptions: Chilled water system (CH’s, CT’s, piping and fittings

within chiller plant room)

45

Clean room floor, ceiling, plenum, wall 32

Clean room electrical outgoing cable, clean room

lighting, clean room DB’s

12

Clean room AHU, control, ducting, piping 48

2 Non-clean room ACMV (water-cooled packaged units) 25

3 Fire protection (sprinklers, hydrants, hose reel, conventional FA, etc.) 12



7

2.Taxation Type Rate

1 Company Tax

Resident and non-resident companies 25%

Resident companies with paid-up capital of RM2.5 million (US$781,250) and less at the beginning of the basis period for a year of assesment

on the first RM500,000 (US$156,250) chargeable income 20%

on subsequent chargeable income 25%

2 Petroleum Income Tax

A person who signed Petroleum Agreement with Petronas or Malaysia-Thailand Authority and carry out petroleum operation

38%

'Chargeable person' means:

Petroleum Nasional Berhad

Malaysia-Thailand Joint Authority, or

Any person carrying on petroleum operations under a petroleum agreement with (a) or (b)

'Person' includes a company, a partnership or other body of person and corporate sole.

"Petroleum operations" means searching for, winning or obtaining of petroleum in Malaysia (by drilling, mining, extracting etc), all operations incidental thereto and sale or disposal of petroleum so won or obtained, transportation within Malaysia of petroleum so won or obtained to any point of sale or export but excludes transportation outside Malaysia; refining or liquefing; dealing with products so refined or liquefied; service involving the supply and used of rigs, derricks, ocean tankers and barges. From the year of assessment 2010, the assessment system under PITA has changed to the current year basis and the self assessment system.

3 Personal Income Tax

Resident individuals with chargeable income of RM16,667 (US$5,208) and above per annum (after deduction of personal reliefs)

1% - 26%

Non-resident individuals (not entitled to any personal reliefs) 26%

4 Withholding Tax

Non-resident persons individuals are subject to final withholding tax based on classes of income such as:

Special classes of income (use of moveable property, technical services, installation services on the supply of plant and machinery, etc.)

10%

Interest 15%

Royalty 10%

Contract payment on:

account of contractor 10%

account of employee 3%

* Other income such as commission, guarantee fees, agency fees, brokerage fees, introducers fees etc.

10%

5 Sales Tax

Sales tax is imposed on certain imported and locally manufactured goods under the 5% - 10%


8

Sales Tax Act 1972. The tax rate ranges from 5 - 10% for majority of the goods except for food preparations other than alcoholic and non-alcoholic compound preparations (other than those of heading No. 33.02) used for making beverages which falls under the tariff code 2106.90.490 with a tax rate of 20%. Sales tax is also imposed on petroleum and petroleum products according to specific rates

6 Service Tax

Service tax is imposed on taxable services provided by taxable persons. Services include services provided by professionals (such as lawyers, engineers, architects, surveyors and consultants), advertising firms, private hospitals, insurance companies, communication companies, hotels and restaurants.

In the case of taxable service relating to credit card or charge card services

i. RM50(US$15.63) - shall be charged for each principal, on the date of the issuance, or on the date of renewal; and every twelve months thereof after the issuance of the card. ii. RM25(US$7.82) - shall be charged for each supplementary card holder, on the date of the issuance, or on the date of renewal; and every twelve months thereof after the issuance of the card.

6%

7 Excise Duty

Excise duty is levied on imported and locally manufactured goods under the Excise Act 1976. The goods are listed under the Excise Duties Order 2004. Goods include:

Goods Duty Rate

Motorcars 75% -105%

4-wheel drive 60% -105%

Motorcycle 20% -30%

Intoxicating liquor RM0.10 + 15% per litre -RM42.50 per 100% vol per

litre + 15% RM0.22 Cigarettes RM0.22 per stick + 20%

8 Rates of Capital Allowance

Capital allowances are given on qualifying capital expenditure. Initial allowances are given only once while annual allowances are given every year by the straightline method. Some of the items accorded allowances are shown below. For plant and machinery, companies are advised to verify with the Inland Revenue Board on the specific items which qualify.

Capital Expenditure Initial Allowance

Annual Allowance

Industrial buildings 10% 3%

Plant and machinery 20% 14%

Heavy machinery and motor vehicles 20% 20%

Computer and IT equipment 20% 40%

Environmental control equipment 40% 20%

Others 40% 10%

Source: MIDA


9

Comparison of Corporate and Personal Income Tax Rate

Source: Tax/ revenue department of related countries, Deloitte and KPMG

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

25

17

20

30

25 25 25

42.024

26

20

35

32

35

30

45

30

0

5

10

15

20

25

30

35

40

45

50

Malaysia Singapore Thailand Philippines Vietnam Indonesia China India

Corporate Tax (%) Personal Income Tax (%)


10

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

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 55 years and below

Employers a) Monthly wages RM 5,000 and below Minimum of 13% of the employees' monthly wages b) Monthly wages exceed RM 5,000 Minimum 12% of the employees' monthly wages

Employees Minimum of 11% of the employees' monthly wages

[Third Schedule (Part A) of the EPF Act 1991]

Age Group 55 - 75 years and below

Employers a) Monthly wages RM 5,000 and below Minimum of 6.5% of the employees' monthly wages b) Monthly wages exceed RM 5,000 Minimum of 6% of the employees' monthly wages

Employees Minimum of 5.5% of the employees' monthly wages

[Third Schedule (Part C) of the EPF Act 1991]

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


11

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 55 years and below

Employers RM5.00 (US$1.56) per employee per month

Employees 11% of the employees' monthly wages

[Third Schedule (Part B) of the EPF Act 1991]

Age Group 55-75 years and below

Employers RM5.00 (US$1.56) per employee per month

Employees 5.5% of the employees' monthly wages

[Third Schedule (Part D) of the EPF Act 1991]


Social Security Organisation (SOCSO)

The Social Security Organisation (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. There are two schemes administered by SOCSO Act, namely:

i. Employment Injury Scheme which provides social insurance coverage against workplace accidents, occupational diseases and commuting accidents to and from place of work.

ii. Invalidity Pension Scheme provides 24 hours coverage against invalidity arising from any cause and not necessarily relating to work environment.

Under these schemes workers are entitled to medical benefits; temporary and permanent disablement benefits; constant attendance allowance; dependent's benefit or survivors pension; funeral, rehabilitation, education benefits; and invalidity pension.

The employment Injury Scheme is funded solely by the employer with the contribution of 1.25% and the Invalidity Pension Scheme is funded with the contribution of 1% which is shared equally by employers and employees. This rate of contribution is capped at the invaluable wage of RM3,000. This contribution is mandatory by law.

All Malaysian employees including permanent residence whom 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


12

• Foreign workers

• Business owner and spouses of sole-proprietorship or partnership

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$781,250) 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$781,250), are given the

option to register with HRDF

0.5% of employees' monthly wages


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 Payments 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 (USD94)

• Term Post RM200 (USD63)

ii. Processing Fees RM50 (USD16)

iii. Journey Perform Visa RM500 (USD156)

per post/application (subject to visa entry


13

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: RM410 (USD128)

iii. Processing fees: RM50 (USD16)

iv. Journey

Perform Visa

(if applicable)

RM500 (USD157) including Visa

based on country


Wage Rates (Malaysia, Monthly)

Position Qualification(s) Experience Minimum Maximum

RM USD RM USD

Finance

Financial Analyst Degree 3-4 years 4,000 1250 6,000 1875

Accountant Degree/Professional

Cert 4-5 years 5,000 1563 7,000 2188

Office support

Front Desk Assistant High School 1-2 years 1,500 469 2,200 688

Data Entry Assistant High School 1-2 years 1,200 375 1,600 500

Despatch High School 1-2 years 1,000 313 1,500 469

Administrator Diploma/Degree 3-5 years 3,000 938 4,500 1406

Sales, Marketing & Advertising

Customer Service Executive Diploma/Degree 2-3 years 1,800 563 2,800 875

Sales Executive High School/ Diploma/Degree 1-2 years 2,000 625 3,000

938

Marketing Executive Diploma/Degree 2-4 years 2,300 719 3,000 938

Marketing Manager Higher

Diploma/Degree 4-5 years 4,500 1406 6,500 2031

Human Resources


14

HR Manager Degree 5-6 years 6,500 2031 8,000 2500

HR Officer / Executive Diploma/Degree 2-3 years 2,500 781 4,000 1250

HR Assistant High School/Diploma 1-2 years 1,500 469 2,500 781

Information Technology

IT Executive

Higher Diploma/ Degree

2-3 years 3,000 938 3,500 1094

Programmer Degree 2-3 years 3,500 1094 4,500 1406

Help Desk Analyst Degree 2-3 years 3,000 938 4,500 1406

Web Designer Degree 2-3 years 3,500 1094 4,500 1406

Software Engineer Degree 2-3 years 3,500 1094 4,500 1406

Systems Analyst Degree 3-5 years 5,500 1719 7,000 2188

Business Development Manager Degree 3-5 years 5,000 1563 7,500 2344

Project Manager Degree 3-5 years 6,500 2032 10,000 3125

Helpdesk Tech Support (Foreign Language Expertise)

Degree 2-3 years 4,000 1250 5,000

1563

Logistic & Warehousing

Shipping Supervisor Diploma/Degree 3-5 years 2,200 688 3,500 1094

Warehouse Executive Diploma 2-3 years 2,200 688 3,500 1094

Buyer Diploma/Degree 2-3 years 2,500 781 4,000 1250

Logistic Coordinator Diploma/Degree 3-5 years 2,200 688 3,500 1094

Warehouse Manager Diploma/Degree 4-6 years 4,500 1406 8,000 2500

Engineering & Technical

QA Inspector Degree 4-5 years 3,000 938 5,000 1563

Electrical Technician Technical Diploma 1-2 years 1,800 563 2,500 781

Sales Engineer Technical/Diploma/ Degree

3-4 years 2,800 875 4,000 1250

Mechanical Engineer Engineering Degree 3-4 years 3,500 1094 5,000 1563

Product Engineer Engineering Degree 4-6 years 5,000 1563 7,000 2188

Service Engineer Degree 3-4 years 3,500 1094 5,500 1719

Technical Manager Technical/Diploma/ Degree 4-5 years 6,000 1875 8,000

2500

Assembly Engineer Degree 2-3 years 2,800 875 4,000 1250

R&D Engineer Diploma/Degree 2-3 years 3,000 938 5,000 1563

USD 1 = RM3.20 Note: Salary figures are industry average. Figures may vary according to depth of expertise and experience.

Source: Malaysia Employment Outlook and Salary Guide 2012/13 by Kelly Services


15

Comparison of Average Salary in Engineering Field (in USD)

Source: Jobstreet Salary Report

Comparison of Average Salary of Technician (in USD)

Source: Jobstreet Salary Report

2,187.50

4,166.67

925.93 804.88 780.49

1,343.75

3,083.33

703.70 524.39 512.20

750.00

2,083.33

277.78 439.02

292.68

-

500.00

1,000.00

1,500.00

2,000.00

2,500.00

3,000.00

3,500.00

4,000.00

4,500.00

Malaysia Singapore India Thai Philippines

Manager Senior Executive Fresh/ Entry Level

656.25

1,833.33

555.56

365.85 414.63 437.50

1,500.00

185.19 253.66 243.90

-

200.00

400.00

600.00

800.00

1,000.00

1,200.00

1,400.00

1,600.00

1,800.00

2,000.00

Malaysia Singapore India Thai Philippines

Senior Executive Fresh / Entry Level

USD1= MYR3.2

USD1= SGD1.2

USD1= INR54

USD1= PHP41 USD1= THB41


16

4. Utilities

Electricity Rates

This tariff is effective from 1st June 2011 and supersedes the previous tariff schedule which was effective on 1st March

2009.

Tariff Category Unit RM USD

1

Tariff B - Low Voltage Commercial Tariff

For Overall Monthly Consumption Between 0-200 kWh/month

For all kWh sen/kWh 39.3 12.3

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 43 13.4


2

Tariff C1 - Medium Voltage General Commercial Tariff

For each kilowatt of maximum demand per month RM/kW 25.9 8.1



3

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

For each kilowatt of maximum demand per month

during the peak period

RM/kW 38.6 12.1

For all kWh during the peak period sen/kWh 31.2 9.8

For all kWh during the off-peak period sen/kWh 19.2 6.0

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

Industrial Tariffs

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 37.7 11.8


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




17

2

Tariff E1 - Medium Voltage General Industrial Tariff




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




3

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


during the peak period RM/kW 31.7

9.9







8.7




4

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



9.5







7.6




Note: 1% as Feed-in-Tariff (FiT) for RE Fund will be imposed on consumers’ monthly bill (excluding Domestic consumers

with monthly consumption of 300kWh and below) effective from 1st September 2011.

USD1 = RM3.20

Source: Tenaga National Berhad


18

Water Rate (Penang)

Category RM per 1,000 litres USD per 1000 litres

Tariff 1: Domestic (Individual)

Minimum charge: 2.50 per month 0.78

First 20,000 litres 0.22 0.07

20,001 - 40,000 litres 0.42 0.13

40,001 - 60,000 litres 0.52 0.16

60,001 - 200,000 litres 0.90 0.28

More than 200,000 litres 1.00 0.31

WATER CONSERVATION SURCHARGE (WCS)

Consumption above 35,000 liters per month 0.24 0.08

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 0.36

More than 200,000 litres 1.27 0.40

Tariff 3: Trade (Special)


Flat rate 1.52 0.48

Tariff 4: Trade (Shipping)


Flat rate 2.54 0.79

USD 1= RM3.20

Source: Perbadanan Bekalan Air Pulau Pinang Sdn Bhd

Comparison of Water Rate by State

State Usage Price per m³ (RM)

Min. Payment/month (RM)

Penang (Source: PBA Feb 4, 2013)

Domestic 0-20m3 21-40m3 41-60m3 61-200m3 Above 200m3

0.22 0.42 0.52 0.90 1.00

2.50

Commercial 0-20,000m3 21-40m3 41 - 200 m3

0.66 0.89 1.15

10.00


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Above 200m3 1.27

Selangor (Source: SYABAS Feb 4, 2013)

Domestic 0-20m3

21-35 m3 35 m3 and above

0.57 1.03 2.00

6.00

Commercial

35m3

35m3 and above 2.07 2.28

36.00

Johor (Source: SAJ Feb 4, 2013)

Domestic 0-20 m³ 21m³-35m³ 35m³ and above

0.60 1.65 2.96

5.00

Commercial 0-35 m³ 35m³ and above

2.60 2.96

25.00

Sewerage Rates

Sewerage services in Malaysia are managed by Indah Water Konsortium Sdn. Bhd, which is wholly owned by the Minister of Finance Incorporated. The company operates in 87 local authorities except those in Kelantan, district of Johor Bahru, Pasir Gudang and KEJORA in Johor, Kelantan, Ketengah in Terengganu, Sabah and Sarawak.

Domestic Customers

Premises and Government quarters receiving connected sewerage services RM8 (US$2.50) per month

Premises and Government quarters with individual septic tanks RM6 (US$1.88) per month

Houses in village/new village/ or estates with individual septic tanks or receiving connected sewerage services

RM3 (US$0.94) per month

Low cost houses and Government quarters (in categories F,G,H and I as defined by the Government General Orders) with individual septic tanks or receiving connected sewerage services

RM2 (US$0.63) per month

Industrial Customers

Premises receiving connected sewerage services RM2.50 (US$0.78) per head per month

Premises with individual septic tanks RM2 (US$0.63) per head per month


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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 625 or less 8 2.50 7 2.19

2,001 - 5,000 625.31 -1,563 14 4.38 8 2.50

5,001 - 10,000 1,563 - 3,125 20 6.25 14 4.38

10,001 - 20,000 3,125 - 6,250 26 8.13 19 5.94

20,001 - 30,000 6,250 - 9,375 29 9.06 21 6.56

30,001 - 40,000 9,375 - 12,500 32 10.00 23 7.19

40,001 - 50,000 12,500 - 15,625 35 10.94 25 7.81

50,001 - 60,000 13,902 - 16,682 38 11.88 27 8.44

60,001 - 70,000 18,750 - 21,875 41 12.81 29 9.06

70,001 - 80,000 21,875 - 25,000 44 13.75 31 9.69

80,001 - 90,000 25,000 - 28,125 47 14.69 33 10.31

90,001 - 100,000 28,125 - 31,250 50 15.63 35 10.94

100,001 - 200,000 31,250 - 62,500 180 56.25 120 37.50

200,001 - 400,000 62,500 - 125,000 495 154.69 330 103.13

400,001 - 600,000 125,000 - 187,500 522 163.13 348 108.75

600,001 - 800,000 187,500 - 250,000 1,980 618.75 1,320 412.50

800,001 - 1,000,000 250,000 - 312,500 2,160 675 1,440 450

1,000,001 - 3,000,000 312,500 - 937,500 4,320 1,350 2,880 900

3,000,001 - 5,000,000 937,500 -1,562,500 8,800 2,750 5,400 1,875

5,000,001 - 7,000,000 1,562,500 - 2,187,500 9,200 2,875 6,000 1,875

More than 7,000,001 More than 2,187,500 9,600 3,000 6,600 2,063

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 (14.06 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= RM3.20

Source: MIDA


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Scheduled Waste Treatment Rates

Kualiti Alam Sdn. Bhd. is the 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. 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 810 253 - - 630 197 - -

B 3,150 984 3,600 1,125 - -

-

-

C 1,350 422 - - - - - -

H/Z 1,890 591 2,790 872 1,800 563 2,700 844

T 3,150 984 3,600 1,125 - - - -

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


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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) 1,440 450 1,620 506

Alkaline Wastes Without Cyanide (X) 1,440 450 1,620 506

Chromate Wastes (X) 1,800 563 1,980 619

Cyanide Wastes (X) 1,800 563 1,980 619

Mercury Wastes (K) 3,600 1,125 3,780 1,181

Inorganic Wastes for Solidification

Waste Group

Packaged Wastes* per tonne

Waste in Bulk per tonne

RM US$ RM US$

X / Z 810 253 765 239

Inorganic Waste for Direct Landfill

Waste Group



RM US$ RM US$

X / Z 495 155 450 141

Rubber Sludge Waste for Rubber Sludge Landfill

Waste Group



RM US$ RM US$

X 700 219 Not

applicable -

Encapsulation

Waste Group (Z)


RM US$

Contaminated Crushed Drum and Other Contaminated Waste 1,500 469


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Cementation

Waste Group (Z) Packaged Wastes*

per tonne

RM US$

Dry Cell Batteries and Other Miscellaneous Wastes 900 281

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 16.53 26.44 8.26 66.10 20.66

248 Kuala Lumpur (Wilayah Persekutuan)

59.73 18.67 29.87 9.33 74.66 23.33

274 Melaka 60.71 18.97 30.36 9.49 75.89 23.72

374 Selangor 65.61 20.50 32.80 10.25 82.01 25.63

652 Perak 79.32 24.79 39.66 12.39 99.14 30.98

722 Johor 82.25 25.70 41.13 12.85 102.82 32.13

760 Pahang 84.21 26.32 42.11 13.16 105.26 32.89

1050 Penang 113.59 35.50 56.79 17.75 141.98 44.37

1152 Terengganu 180.17 56.30 90.09 28.15 225.22 70.38

1166 Kedah 181.15 56.61 90.58 28.31 226.44 70.76

1190 Kelantan 183.11 57.22 91.56 28.61 228.89 71.53

1240 Perlis 184.09 57.53 92.04 28.76 230.11 71.91

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.

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

USD 1= RM3.20

Source: MIDA


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Gas and Fuel Costs

Per litre RM US$

Petrol (Unleaded)

- Retail 1.90 0.61

- Bulk Consumers* 1.88 0.59

Diesel

- Retail 1.80 0.55


Medium Fuel Oil 1.61 0.30

Per kg RM US$

LPG

- Bottled 1.85 0.58


Note: Kuala Lumpur prices quoted * Prices fluctuate from time to time based on contracts and current crude oil market condition. Source: MIDA

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

13.98 51 – 416 mmBtu (601 – 5,000 mmBtu)

3 Tariff D – Commercial & Industrial Unit Charge

14.61 417 – 4,166 mmBtu (5,001 – 50,000 mmBtu)

4 Tariff E – Commercial & Industrial Unit Charge

16.07 4,167 – 16,666 mmBtu (50,001 – 200,000 mmBtu)

5 Tariff F – Commercial & Industrial Unit Charge

16.07 16,667 – 62,500 mmBtu (200,001 – 750,000mmBtu)

6 Tariff L – Commercial & Industrial Unit Charge

16.45 >62,500 mmBtu (>750,000mmBtu)

Source: Gas Malaysia Berhad


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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

PETALING JAYA - Sungai Way 504.00 23.20 62.85 590.05 178

SELANGOR - Banting 564.00 0.00 70.33 634.33 191

PERAK - Tanjung Malim 1,262.00 59.80 157.37 1,479.17 446

PENANG - Butterworth/ Seberang Prai 2,402.00 194.80 299.53 2,896.33 905

KEDAH - Kulim 2,372.00 240 295.79 2,907.79 877

PERLIS - Kangar 2,906.00 240 362.38 3,508.38 1,059

NEGERI SEMBILAN - Nilai 968.00 56.40 120.71 1,145.11 346

MELAKA - Air Keroh Industrial Area 1,468.00 103.40 183.06 1,754.46 529

KELANTAN - Kota Bharu 3,302.00 197.80 411.76 3,911.56 1,180

PAHANG - Kuantan 1,940.00 197.80 241.92 2,379.72 718

TERENGGANU - Kerteh 2,318.00 197.80 289.05 2,804.85 846

JOHOR - Pasir Gudang 2,348.00 211 292.80 2,851.60 861

Source: MIDA

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

900 1,800

CHINA Shanghai

100 200

EUROPE Main ports

900 1,800

INDIA Navasheva

450 900


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JAPAN Main ports

400 800

KOREA Pusan

400 800

WEST MEDITERRANEAN Main ports

900 1,800

NEW ZEALAND 900 1,800

SOUTH AFRICA 800 1,600

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 60.00 18.11 15.00 4.53 75.00 22.63 14.00 4.22 20

Germany 70.00 21.12 20.00 6.04 100.00 30.18 19.00 5.73 23

Japan 47.00 14.18 12.00 3.62 64.00 19.31 15.00 4.53 30

UK 70.00 21.12 20.00 6.04 100.00 30.18 15.00 4.53 20

USA 65.00 19.61 20.00 6.04 100.00 30.18 20.00 6.04 No Limit

Source: MIDA

Air Cargo Rates

From Kuala Lumpur to:

Destination Country

SCR* Item No.

Minimum Weight (kg) Rates/kg

RM US$

AUSTRALIA

Perth Normal 13.60 4.25

45 10.20 3.19

250 8.28 2.59

500 7.66 2.39

Sydney Normal 17.25 5.39

45 12.94 4.04


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250 9.39 2.93

500 8.92 2.79

GERMANY

Cologne/Frankfurt Normal 28.47 8.90

Hamburg/Stuttgart 45 21.35 6.67

200 10.76 3.36

JAPAN

Osaka/Tokyo Normal 16.71 5.22

45 12.53 3.92

KOREA

Seoul Normal 18.73 5.85

45 14.05 4.39

UK

London Normal 31.03 9.70

45 23.27 7.27

250 11.08 3.46

USA

New York Normal 26.29 8.22

45 20.29 6.34

100 19.90 6.22

200 18.28 5.71

300 16.35 5.11

400 16.13 5.04

500 15.08 4.71

4314 300 13.85 4.33

4314 300 13.85 4.17

4314 500 13.34 3.98

4416 100 13.51 4.22

4416 500 12.93 4.04

4416 1000 11.39 3.56

West Coast Normal 24.64 7.70

45 18.48 5.78

100 18.28 5.71

200 16.63 5.20

300 14.73 4.60

400 14.51 4.53

500 13.43 4.20

4314 300 12.18 3.80

4314 500 11.66 3.64

4314 1000 11.09 3.47

4416 100 11.93 3.73

4416 300 11.54 3.61


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4416 1000 9.42 2.94

*SCR=Specified Cargo Rates Item No. 4314 Electronic components (fabricated for electronic computers, auxiliary machines)

Item No. 4416 Automobile radios, dictation machines, hearing aids, records, recording tape, recording wire, radios, televisions, sound recording sets, electric appliances, lighting fixtures, enamelled wire, insulated wire, telephone apparatus, telegraph apparatus, teletype apparatus, electronic tubes, semi-conductors

Source: MIDA

Penang Bridge

Source: Penang Bridge Sdn Bhd


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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 0.6 0.19

b. Adult 1.2 0.38

Monthly ticket (not valid for travel with bicycle)

a. Student (not exceeding 21 years of age) 6 1.88

b. Adult 30 9.38

II. Bicycle 1.4 0.44

III. Motorcycle 2 0.63

IV. Trishaw and Tricycle 3.3 1.03

V. Motorcar including Station Wagon, Four Wheel Drive, Three Wheel Drive,

Three Wheel Commercial Vehicle and Motorcycle with Side Car. 7.7 2.41

Vl. Lorry, Van and Bus

a. Vehicle with 2 axles and 4 wheels 13.2 4.13

b. Vehicle with 2 axles and 6 wheels 27.5 8.59

Source : Penang Port Commission

Invest-in-Penang Berhad (671697-P)

PSDC Building, 1 Jalan Sultan Azlan Shah, Bayan Lepas, 11900 Penang, Malaysia Phone: +60 4 646 8833 | Fax : +60 4 646 8811 | E-mail: [email protected]

Cost of Doing Business - Invest · PDF fileMelaka 10.70 - 27.00 3.34 - 8.44 ... Bukit Minyak...

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