COST OF DOING BUSINESS IN PERAK, MALAYSIA
2nd Edition March 2017
PERAK INVESTMENT MANAGEMENT CENTRE Level 4, Perak Techno Trade Centre, Bandar Meru Raya, Off Jalan Jelapang, 30020 Ipoh, Perak, MALAYSIA.
Tel : +605-5292 447 / 448 Fax : +605-5292 440 Email : [email protected] Website : www.investperak.gov.my
PERAK INVESTMENT MANAGEMENT CENTRE
CONTENTS COST of DOING BUSINESS In Perak, Malaysia
STARTING A BUSINESS 2 MAIN FEES TO BE PAID TO THE COMPANIES COMMISSION OF MALAYSIA (CCM) 2 RENTAL RATES FOR PRIME OFFICE SPACE 3 COST OF INDUSTRIAL LAND & FACTORY BUILDING 4 COST OF READY-BUILD FACTORY 4 TYPES OF INDUSTRIAL BUILDING AND RATES OF ALLOWANCES 5 AVERAGE CONSTRUCTION COSTS OF FACTORY BUILDING 5
TAXATION 6 COMPANY TAX 6 PERSONAL INCOME TAX 6 PETROLEUM INCOME TAX 7 WITHOLDING TAX 8 GOODS AND SERVICES TAX (GST) 8 EXERCISE DUTY 9 RATE OF CAPITAL ALLOWANCES 9
HUMAN RESOURCES 11 MINIMUM CONDITIONS OF EMPLOYMENT 11 STATUTORY CONTRIBUTIONS 12 EMPLOYMENT OF EXPATRIATES 15 WAGE RATES 16 SALARIES OF EXECUTIVES IN THE MANUFACTURING SECTOR 17 SALARIES OF NON-EXECUTIVES IN THE MANUFACTURING SECTOR 18 FRINGE BENEFITS FOR NON-EXECUTIVES 19
UTILITIES RATES 20 ELECTRICITY RATES 20 WATER RATES 31 SEWERAGE RATES 32 SCHEDULE WASTE TREATMENT RATES 34 GAS & FUEL COSTS 38 TELECOMMUNICATIONS RATES 39 INTERNET SERVICE 42
TRANSPORTATION COSTS 48 OCEAN FREIGHT RATE 48 COURIER SERVICE RATE 48 AIR CARGO RATE 49 AVERAGE HAULAGE RATES 52 IPOH CARGO TERMINAL SDN. BHD. (ICT) 53 LUMUT MARITIME TERMINAL SDN BHD 55
LIVING IN PERAK 58 RENTED ACCOMMODATION, FURNISHED 58 HOTEL RATES 58 GOLF CLUB MEMBERSHIP 58 INTERNATIONAL SCHOOL FEES 59 HEALTHCARE 62 DOMESTIC HELP 63 PUBLIC TRANSPORT 64 ELECTRIC TRAIN SERVICE (ETS) 65 DOMESTIC AIRFARES 70 EATING OUT IN PERAK, MALAYSIA 70 SHOPPING IN IPOH, PERAK 71 NON-DUTIABLE GOODS 71 1 1 STARTING A BUSINESS
MAIN FEES TO BE PAID TO THE COMPANIES COMMISSION OF MALAYSIA (CCM):
RM
Registration of a name • Personal names 30 • Trades name 60
For registration of a company, fees range according to nominal share capital, e.g:
• Up to RM 400,000 1,000
• RM 400,001 - RM 500,000 3,000
• RM 500,001 - RM 1,000,000 5,000
• RM 1,000,001 - RM 5,000,000 8,000
• RM 5,000,001 - RM 10,000,000 10,000
• RM 10,000,001 - RM 25,000,000 20,000
• RM 25,000,001 - RM 50,000,000 40,000
• RM 50,000,001 - RM 100,000,000 50,000
• Exceeding RM 100 Million 70,000
*Source: Companies Act 1965 (Act 125) & subsidiary legislations For the full range of fees, please visit www.ssm.com.my
2 COST OF DOING BUSINESS IN PERAK, MALAYSIA RENTAL RATES FOR PRIME OFFICE SPACE
Location RM
Alor Setar, Kedah 16.15 - 24.00
Georgetown, Pulau Pinang 27.00 - 35.50
Ipoh, Perak 16.15 - 21.52
Kuala Lumpur 64.60 - 102.25
Petaling Jaya, Selangor 48.44 - 59.20
Seremban, Negeri Sembilan 16.10 - 37.70
Melaka 26.00 - 38.00
JB City 30.15 - 37.70 Johor Bahru, Johor Medini Nusajaya 48.45 - 53.80
Kuantan, Pahang 13.00 - 25.00
Kuala Terengganu, Terengganu 21.50 - 27.00
Kota Bharu, Kelantan 10.70 - 27.00
Kota Kinabalu, Sabah 23.70 - 32.30
Kuching, Sarawak 27.00 - 32.30
The rental above are gross rentals per sq. metre per month inclusive of service charge. (Rental excludes Petronas Twin Towers) *Source: CH Williams, Talhar & Wong
2nd Edition • March 2017 3 COST OF INDUSTRIAL LAND & FACTORY BUILDING
Annual Selling price per ft2 Quit rent per assessment rate Location annum (% of property (m2) RM value)
Ipoh 20-25 RM1.17 16
Kamunting Raya 15-20 RM0.58 9.5
Kampung Acheh, Manjung 20-25 RM0.60 10.5
Bemban Industrial Estate, 15-20 RM0.58 13 Batu Gajah
Proton City, Tanjung Malim 20-25 RM0.60 11.5
Seri Iskandar 15-20 RM1.04 12 - 15
*Source: Land Office, Local Council & Perak State Development Corporation
COST OF READY-BUILD FACTORY
Sale price per ft2 floor Rental per ft2 per Location area month Ipoh RM95.00 – 115.00 RM0.50 – 0.70
Kamunting Raya RM95.00 – 115.00 RM0.50 – 0.70
Kampung Acheh, Manjung RM95.00 – 115.00 RM0.50 – 0.70
Bemban Industrial Estate, Batu Gajah RM95.00 – 115.00 RM0.50 – 0.70
Proton City, Tanjung Malim RM95.00 – 115.00 RM0.50 – 0.70
Seri Iskandar RM95.00 – 115.00 RM0.50 – 0.70
*Source: Malaysian Industrial Estates Berhad - www.midfproperty.com.my
4 COST OF DOING BUSINESS IN PERAK, MALAYSIA TYPES OF INDUSTRIAL BUILDING AND RATES OF ALLOWANCES
Annual Buildings which qualify as industrial buildings )%( Initial Allowance )%( Allowances Constructed or purchased building which is used - 10 as an old folks care centre. Constructed or purchased building which is used by a MSC status company. - 10 Constructed or purchased building which is used - 10 by a Bio Nexus status company. Building constructed under a privatisation project 10 6 and private financing initiatives. Constructed or purchased building which is used - 10 as a kindergarten. Constructed or purchased building which is used - 10 as a child care centre. Constructed or purchased commercial building in the Tun Razak Exchange used by a Tun Razak - 10 Exchange Marquee status company.
*Source: Inland Revenue Board of Malaysia
AVERAGE CONSTRUCTION COSTS OF FACTORY BUILDING (PER FT2)
RM Factory with reinforced concrete structure 65 - 75
Steel portal frame on reinforced concrete 75 - 80
Factory with clean room facilities 120 - 130
*Source: MIDF Property Berhad. – www. midf.com.my & State Economic Development Corporation (SEDCs)
2nd Edition • March 2017 5 2 TAXATION
COMPANY TAX
Company Tax
i) Resident companies with paid-up capital not more than of RM2.5 million * on the first RM500,000 chargeable income 18% * on subsequent chargeable income 20%-24%
ii) Resident companies with paid-up capital more than of RM2.5 million 20%-24%
iii) Non-resident companies 24%
*Source: Inland Revenue Board of Malaysia
PERSONAL INCOME TAX
Resident individuals with chargeable income of RM15,000 and above 1% - 28% (after reduction of personal reliefs)
Non-resident individuals (not entitled to any personal reliefs) 28%
*Source: Inland Revenue Board of Malaysia
Reduction in the corporate tax i. Recognising the economic challenges faced by companies, a reduced corporate tax rate is proposed for companies, Limited Liability Partnerships and other persons (such as a trust body, executor of an estate of an individual who was domiciled outside Malaysia at the time of his death and a receiver appointed by the Court) who successfully increase their taxable income in the years of assessment 2017 and 2018. The reduction in the corporate tax rate is based on the percentage of increase in a company’s chargeable income as follows:
Increased percentage of chargeable income Reduction in tax Income tax rate compared with immediately preceding year rate after reduction Less than 5% - 24% 5% - 9.99% 1 23% 10% - 14.99% 2 22%
6 COST OF DOING BUSINESS IN PERAK, MALAYSIA 15% - 19.99% 3 21% 20% and above 4 20% ii. Reduction 1% to 4% in the corporate income tax rate are given based on the increasing of chargeable income. iii. For all Small and Medium Enterprises (SMEs), the tax rate on chargeable income up to the first RM500, 000 is reduced from 19% to 18%. iv. To boost the local vendor development programme in the manufacturing and services sectors, double deduction on expenses incurred by the anchor company, will be extended until December 31, 2020.
*Source: Inland Revenue Board of Malaysia
PETROLEUM INCOME TAX
Companies and persons engaged in petroleum operations are subject to a rate of 38%
Searching for, winning or obtaining of petroleum in Malaysia (by drilling, mining, extracting, etc.); all operations incidental thereto and sale or “Petroleum disposal of that petroleum; or transportation within Malaysia of that operations” petroleum; but excludes transportation outside Malaysia; refining or liquefying; service involving the supply and used of rigs, derricks, ocean tankers and barges.
a. Petroleum Nasional Berhad, b. Malaysia -Thailand Joint Authority “Chargeable person” c. In relation to each petroleum agreement, any other person carrying on petroleum operations with a) or b)
Includes a company, a partnership or other body of persons and a “Person” corporation sole.
*Source: Inland Revenue Board of Malaysia
2nd Edition • March 2017 7 WITHHOLDING TAX
Withholding tax is an amount withheld by the party making payment (payer) on income earned by a non-resident (payee) and paid to the Inland Revenue Board of Malaysia. Withholding Payment Type Tax Rate Contract Payment 10%, 3% Interest 15% Royalty 10% Special classes of income: Technical fees, payment for services, rent/ 10% payment for use of moveable property Interest (except exempt interest) paid by approved financial institutions 5% Income of non-resident public entertainers 15% Real Estate Investment Trust (REIT) (i) Other than a resident company 10% (ii) Non Resident company 25% (iii) Foreign investment institution effective from 01/01/2007 10% Family Fund/Takaful Family Fund/Dana Am (i) Individual and others 8% (ii) Non Resident Company 25% Income under Section 4(f) ITA 1967 10%
*Source: Inland Revenue Board of Malaysia - www.hasil.gov.my
GOODS AND SERVICES TAX (GST)
During the 2014 Budget Announcement, the Prime Minister of Malaysia has announced the implementation of a goods and services tax (GST) of 6% commencing on 1 April 2015. The introduction of GST is part of the overall Government tax reform programme towards making the taxation system more efficient, effective, transparent, business friendly and capable of generating a stable source of revenue.
GST is to replace the current consumption tax comprising of Sales and Services Tax (SST) to eliminate its inherent weaknesses such as cascading and compounding effects, transfer pricing and value shifting, no complete relief on goods exported, discourage vertical integration, administrative bureaucratic red tape, classification issues and etc. GST, also known as value added tax (VAT) in many countries is a multi-stage consumption tax on goods and services. GST is levied on the supply of goods and services at each stage of the supply chain from the supplier up to the retail stage of the distribution.
Even though GST is imposed at each level of the supply chain, the tax element does not become part of the cost of the product because GST paid on the business inputs is claimable. Hence, it does not
8 COST OF DOING BUSINESS IN PERAK, MALAYSIA matter how many stages where a particular good and service goes through the supply chain because the input tax incurred at the previous stage is always deducted by the businesses at the next step in the supply chain. With GST, businesses can benefit from recovering input tax, thus reducing cost of doing business. 22 General Policies, Facilities and Guidelines GST is a broad based consumption tax covering all sectors of the economy i.e all goods and services made in Malaysia including imports except specific goods and services which are categorised under zero-rated supply and exempt supply orders as determined by the Minister of Finance and published in the Gazette. GST can only be levied and charged if the business is registered under GST.
A business is not liable to be registered if its annual turnover of taxable supplies does not reach the prescribed threshold. Therefore, such businesses cannot charge and collect GST on the supply of goods and services made to their customers. Nevertheless, businesses can apply to be registered voluntarily.
For further information on GST, visit http://gst.customs.gov.my
EXERCISE 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% 4Wheel drives 60% -105% Motorcycle 20% - 30% Intoxicating liquor RM40 / 100% - RM175 / 100% RM15 and 5% - Cigarettes & Tobacco RM400/kg or RM0.40 / stick Mahjong Tiles & Playing Card 5% - 10%
*Source: Royal Malaysian Customs - www.customs.gov.my
RATE OF CAPITAL ALLOWANCES
Capital allowances are given on qualifying capital expenditure. Initial allowances are given only once while annual allowances are given every year by the straight line method. Allowances for some items are shown in the table below. For plant and machinery, companies are advised to verify with the Inland Revenue Board of Malaysia on the specific items which qualify.
2nd Edition • March 2017 9 Capital Expenditure Initial Allowance Annual Allowance
Industrial building 10% 3% General plant and machinery 20% 14% Heavy machinery and motor vehicles 20% 20% Computer and IT equipment 20% 40% Environmental control equipment 20% 40% Others 20% 10%
Source: Inland Revenue Board - www.hasil.gov.my
10 COST OF DOING BUSINESS IN PERAK, MALAYSIA 3 HUMAN RESOURCES
MINIMUM CONDITIONS OF EMPLOYMENT
The Employment Act, 1955 is the main legislation on labour 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 five 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
*Minimum paid sick 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
2nd Edition • March 2017 11 Minimum Retirement Age Act 2012
The minimum retirement age of an employee shall be upon the employee attaining the age of sixty years. The Schedule in the Act exempts certain persons who will not be subject to the Minimum Retirement Age Act 2012.
**Source: Ministry of Human Resources - www.mohr.gov.my
STATUTORY CONTRIBUTIONS
Employees Provident Fund
The compulsory contributions under the Employees Provident Fund (EPF) Act 1991:
Age Group 60 years and below
Monthly wages RM5,000 and below - Minimum of 13% of the employees’ monthly wages. Employers Monthly wages exceed RM 5,000 - Minimum 12% of the employees’ monthly wages.
Employees Minimum of 11% of the employees’ monthly wages
Age Group 60 - 75 years and below
Monthly wages RM 5,000 and below - Minimum of 6.5% of the employees’ monthly wages. Employers Monthly wages exceed RM 5,000 - Minimum of 6% of the employees’ monthly wages.
Employees 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 60 years and below
Employers RM5.00 per employee per month
Employees 11% of the employees’ monthly wages
12 COST OF DOING BUSINESS IN PERAK, MALAYSIA Age Group 60-75 years and below
Employers RM5.00 per employee per month
Employees 5.5% of the employees’ monthly wages
Source: Employees Provident Fund - www.kwsp.gov.my
Social Security Organisation (SOCSO)
It was established in 1971 under the Ministry of Human Resources to implement and administer the social security schemes under the Employees’ Social Security Act 1969, namely Employment Injury Scheme and Invalidity Scheme. SOCSO administers two social security schemes for workers earning wages not exceeding RM3,000 per month. Once covered, workers remain covered irrespective of their wages. However, the maximum contribution is based on wages of RM3,000 per month.
Employment Injury Scheme
Provides protection to an employee against accident or an occupational disease arising out of or in the course of his employment. The protection under this scheme covers for industrial accident, commuting accident and occupational disease. The benefits under this scheme are:
• Medical benefit, temporary disablement benefit, permanent disablement benefit, constant- attendance allowance, facilities for physical/vocational rehabilitation, dependents’ benefit, funeral benefit and education benefit. Contribution under Employment Injury Insurance Scheme:
• Employers – 1.75% of the employee’s wages • Employees – Nil
Invalidity Scheme Provides 24 hours coverage to an employee who suffers from invalidity or death due to any causes which are not related to his employment. The benefits under this scheme are:
• Invalidity pension, invalidity grant, constant-attendance allowance, facilities for physical/ vocational rehabilitation & dialysis, survivor’s pension, funeral benefit and education benefit.
Contribution under the Invalidity Pension Scheme: • 1% of the employee’s wages shared equally by the employer and employee.
All eligible Malaysian citizens and permanent residents’ employees are compulsory to register
2nd Edition • March 2017 13 Employee’s Eligibility:
i Monthly wages of RM3,000 or Employee who receives a monthly wages of RM3,000 or less less is required to register and contribute. Employees who have already contributed and whose ii ‘Once- In-Always-In’ Principle monthly wages exceed RM3,000 are required to continue contributing. New employee with monthly wages of more than RM iii Monthly wages exceeding 3,000 can be covered upon mutual agreement between RM 3,000 employer and employee.
Source: Social Security Organisation (SOCSO) - www.perkeso.gov.my
Person exempted from Employee’s Social Security Act 1969 coverage are as follow: • Federal and State Government employees except who are employed under temporary or contact basis. • Domestic basis • Domestic servants • Self-employed • Spouse/s of a sole proprietor or partners • Foreign workers (covered under Workmen’s Compensation Act 1952)
Human Resources Development Fund (HRDF)
The Human Resources Development Fund (HRDF) operates on the basis of a levy/grant system. Employers who have paid the Human Resources Development Fun levy will qualify for training grants from the HRDF to defray or subsidies training costs for their Malaysia employees. Sector covered under the Human Resources Development Act, 2001 are as follows:
Manufacturing Sector
Paid-Up Payment of Levy Requirement of Employers Capital (Mandatory / (RM Million) Optional) Employers with 50 Malaysian Employees & Above - Mandatory (1.0 %) Employers with 10 – 49 Malaysian Employees 2.5 above Mandatory (1.0 %) Employers with 10 – 49 Malaysian Employees Below 2.5 Optional (0.5%)
14 COST OF DOING BUSINESS IN PERAK, MALAYSIA Services Sector Paid-Up Payment of Levy Requirement of Employers Capital (Mandatory /Optional) (RM Million)
Employers with 10 Malaysian Employees & Above - Mandatory (1.0 %)
Employers with 30 Malaysian Employees & Above - Mandatory (1.0%) (Applicable to F&B Employers)
Employers with 50 Malaysian Employees & Above (Applicable to Hypermarket; Supermarket & - Mandatory (1.0%) Departmental Store)
Mining and Quarrying Sector Paid-Up Payment of Levy Requirement of Employers Capital (Mandatory /Optional) (RM Million) Employers with 50 Malaysian Employees & Above - Mandatory (1.0 %)
Employers with 10 – 49 Malaysian Employees 2.5 above Mandatory (1.0%)
Employers with 10 – 49 Malaysian Employees Below 2.5 Optional (0.5%)
Source: Pembangunan Sumber Manusia Berhad (PSMB) - www.hrdf.com.my
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.
2nd Edition • March 2017 15 Employment Pass
This pass is issued for key-post and term-post position subject to the following conditions:
Type of Passes Payments of Fees
Employment Pass (PG) i. Employment pass: • Key post : RM300 This pass is issued for key-post and • Term Post : RM200 term-post position subject to the following ii. Processing fees : RM125 conditions: iii. Journey perform visa : • minimum period of employment’s contract RM500 per post/application (subject to visa is two years and stamping; entry requirement according to each country • salary not less than RM5,000 of origin) iv. No levy Visa Pass [VP(TE)] – PLKS i. Levy : RM410 ii. Processing Fees : RM125 Visit Pass (Temporary Employment) is issued iii. Journey Perform visa (if applicable) : only for temporary domestic helper (maid) RM500 (include visa based on the country of origin)
*Source: Immigration Department - www.imi.gov.my
WAGE RATES
Minimum Wages Order 2016
Generally, wages in Malaysia are not regulated and it is dependent on the demand and supply of the market forces. The Minimum Wages Order 2012 had laid down the minimum wages to be paid for all employees who fall within the First Schedule of the Employment Act 1955. Minimum wages is defined as basic wages, excluding any allowances or other payments. The minimum wages of RM1,000 was set for Peninsular Malaysia and RM920 for Sabah, Sarawak and Labuan. No employer shall pay below the stipulated amount. All local and foreign employees shall be entitled to receive the minimum wages as per the Order.
16 COST OF DOING BUSINESS IN PERAK, MALAYSIA SALARIES OF EXECUTIVES IN THE MANUFACTURING SECTOR
In manufacturing sector, the average basic monthly salary of the executives ranges from RM3,771 (Executives) to RM14,659 (Senior Managers) to RM28,496 (Top Executives). The following table shows the average minimum and maximum monthly salaries of selected executive position.
RM Executive Position Min Max General Manager 15,191 24,502 General Manager-Sales & Marketing/ Business Development 13,561 21,959 Senior Production/Manufacturing Manager 11,009 20,197 Financial Controller / Director 16,295 29,499 Finance / Accounts Manager 6,568 12,234 Finance / Accounts Executive 2,594 5,055 Company Secretary 5,711 10,175 Admin/HR/Finance Manager 6,881 12,608 Human Resource Manager 6,581 13,165 Training Manager 5,430 11,731 Quality Assurance Manager 6,294 12,473 Business Development Manager 7,541 14,394 Logistics Manager 6,230 11,133 Technical Manager 6,111 12,963 Marketing Manager 6,051 13,964 Operations Manager 6,617 13,008 Mechanical Engineer 3,266 6,660 Electrical/Electronics Engineer 3,231 6,640 IT/System Support Executive/Engineer 2,450 5,578 IT Executive 2,728 5,022 Marketing Executive 2,689 5,480 Quality Assurance Executive 2,757 4,879 Executive Secretary /Personal Assistant 3,257 6,390
*Source: MEF Salary Survey for Executives 2015 - www.mef.org.my
2nd Edition • March 2017 17 FRINGE BENEFITS FOR EXECUTIVES
Annual leave entitlement (median) for executives ranged between 15 to 23 days per calendar year depending on management level and length of services. All of respondent companies provided medical benefits to their executives while 59.6% also extended the facility to dependents. Personal accident insurance was more commonly provided to executives as compared with life insurance.
The more common type of loans provided to executives were car loan, personal loan, and computer loan. The overall average forecasted salary increase for executives in 2017 is 5.30%. On the other hand, the overall average forecasted bonus granted for non-executives in 2016 is 2.07 month.
*Source: Malaysian Employers Federation (MEF).
SALARIES OF NON-EXECUTIVES IN THE MANUFACTURING SECTOR
An analysis of the salaries of Non Executives in the manufacturing sector shows at the average monthly basic monthly salary ranged from RM1,216 (unskilled employees) to RM1,717 (semi-skilled employees) to RM2,352 (skilled employees/craftsmen). The following table shows the average minimum and maximum monthly salaries of selected Non Executive position.
RM Non-Executive Position Min Max
Secretary 1,644 4,242 Account Clerk 1,331 2,633 General Clerk 1,109 2,746 Receptionist/Telephone Operator 1,152 2,324 IT Supervisor 2,119 4,078 IT Assistant 2,123 4,222 Chargeman (Medium Pressure) 2,182 3,487 Production Supervisor 2,119 3,865 Machinist 1,228 2,711 Line Leader 1,273 2,554 Services Technician 1,255 3,000 Technician (General) 1,377 3,041 Electrician 1,464 2,728
18 COST OF DOING BUSINESS IN PERAK, MALAYSIA Wireman/ Welder 1,557 2,928 Operator (Semi Skilled) 1,000 2,192 Operator (Unskilled) 1,000 1,679 Storekeeper/Warehousemen 1,415 2,745 Quality Control/Assurance Supervisor 2,355 4,048 Lorry/Truck/Van Driver 1,336 2,608 Security Guard 1,000 2,025
*Source: MEF Salary Survey for Non Executives 2015 - www.mef.org.my
FRINGE BENEFITS FOR NON-EXECUTIVES
Annual leave entitlement was based on years of service. Half of respondent companies provided between 10 to14 days for employees with less than two years’ service and between 14 to 16 days for those with two to less than five years’ service.
Almost all respondent companies 98.2% provided medical benefits to their non-executives with about 38.7% extending the benefit to defendants. 88.3% of the companies provided personal accident insurance to their non-executives.
A majority of companies provided shift allowance to their employees, generally calculated on a daily basis – up to RM2.00 for the first shift, RM2.01– RM4.00 for the second shift and RM4.01 – RM6.00 for the third shift. The overall average forecasted salary for non-executives is at 5.43% in 2017. On the other hand, the overall average forecasted bonus granted for non-executives in 2016 is 2.00 month.
*Source: Malaysian Employers Federation - www.mef.org.my
2nd Edition • March 2017 19 4 UTILITIES RATES
ELECTRICITY RATES (Peninsular Malaysia)
Tenaga Nasional Berhad (TNB) is the main electricity power generator and supplier in Peninsular Malaysia.
Schedule 1
TNB tariff rates are set out as follows:
Domestic Tariff perkWh (sen) For the first 200 kWh (1 - 200 kWh) per month 21.80 For the next 100 kWh (201 – 300 kWh) per month 33.40 For the next 300 kWh (301 – 600 kWh) per month 51.60 For the next 300 kWh (601 – 900 kWh) per month 54.60 For the next kWh (901 kWh onwards) per month 57.10 The Minimum Monthly Charge is RM3.00
Commercial Tariffs – for offices, shops and hotels perkWh (sen)
Tariff B (Low Voltage)
For the first 200 kWh (1 -200 kWh) per month 43.50 For the next kWh (201 kWh onwards) per month 50.90 The Minimum Monthly Charge is RM7.20 Tariff C1 (Medium Voltage)
For each kilowatt of maximum demand per month 30.30 For all kWh 36.50 The Minimum Monthly Charge is RM600.00
Tariff C2 (Medium Voltage Peak/Off-Peak)
For each kilowatt of maximum demand per month during the peak period 45.10 For all kWh during the peak period 36.50 For all kWh during the off-peak period 22.40 The Minimum Monthly Charge is RM600.00
20 COST OF DOING BUSINESS IN PERAK, MALAYSIA Industrial Tariffs – for factories perkWh (sen)
Tariff D (Low Voltage)
For the first 200 kWh (1 -200 kWh) per month 38.00 For the next kWh (201 kWh onwards) per month 44.10 The Minimum Monthly Charge is RM7.20 Tariff Ds – Special Industrial Tariff (for consumers who qualify only)
For all kWh 43.60 The Minimum Monthly Charge is RM7.20
Tariff E1 (Medium Voltage)
For each kilowatt of maximum demand per month 29.60 For all kWh 33.70 The Minimum Monthly Charge is RM600
Tariff E1s – Special Industrial Tariff (for consumers who qualify only)
For each kilowatt of maximum demand per month 28.50 For all kWh 33.70 The Minimum Monthly Charge is RM600
Tariff E2 – (Medium Voltage Peak/Off-Peak)
For each kilowatt of maximum demand per month during the peak period 37.00 For all kWh during the peak period 35.50 For all kWh during the off-peak period 21.90 The Minimum Monthly Charge is RM600
Tariff E2s - Special Industrial Tariff (for consumers who qualify only)
For each kilowatt of maximum demand per month during the peak period 34.30
For all kWh during the peak period 35.00 For all kWh during the off-peak period 19.90 The Minimum Monthly Charge is RM600
2nd Edition • March 2017 21 Tariff E3 (High Voltage Peak/Off-Peak)
For each kilowatt of maximum demand per month during the peak period 35.50 For all kWh during the peak period 33.70 For all kWh during the off-peak period 20.20 The Minimum Monthly Charge is RM600 Tariff E3s - Special Industrial Tariff (for consumers who qualify only)
For each kilowatt of maximum demand per month during the peak period 30.20 For all kWh during the peak period 32.90 For all kWh during the off-peak period 18.30 The Minimum Monthly Charge is RM600
Mining Tariffs perkWh (sen)
Tariff F (Low Voltage)
For all kWh 38.10 The Minimum Monthly Charge is RM120
Tariff F1 (Medium Voltage General Mining Tariff)
For each kilowatt of maximum demand per month 21.10 For all kWh 31.30 The Minimum Monthly Charge is RM120
Tariff F2 (Medium Voltage Peak/Off-Peak Mining Tariff)
For each kilowatt of maximum demand per month during the peak period 29.80 For all kWh during the peak period 31.30 For all kWh during the off-peak period 17.20 The Minimum Monthly Charge is RM120
Lighting Tariffs PerkWh (sen)
Tariff G (Street Lighting Tariff)
For all kWh (including maintenance) 30.50
22 COST OF DOING BUSINESS IN PERAK, MALAYSIA For all kWh (excluding maintenance) 19.20 The Minimum Monthly Charge is RM7.20
Tariff G1 (Neon & Floodlight Tariff)
For all kWh 20.80 The Minimum Monthly Charge is RM7.20
Specific Agriculture Tariffs perkWh (sen)
Tariff H (Low Voltage Specific Agriculture Tariff
For the first 200 kWh (1 -200 kWh) per month 39.00 For the next kWh (201 kWh onwards) per month 47.20 The Minimum Monthly Charge is RM7.20
Tariff H1 (Medium Voltage General Specific Agriculture Tariff)
For each kilowatt of maximum demand per month 30.30 For all kWh 35.10 The Minimum Monthly Charge is RM600
Tariff H2 (Medium Voltage Peak/Off-Peak Specific Agriculture Tariff)
For each kilowatt of maximum demand per month during the peak period 40.80 For all kWh during the peak period 36.50 For all kWh during the off-peak period 22.40 The Minimum Monthly Charge is RM600
Notes: 1.6% for Feed-in-Tariff (FiT) is imposed on consumers’ monthly bill (excluding Domestic consumers with monthly consumption of 300kWh and below) effective from 1st January 2016
Schedule 2
Tariff rates for Top-up and Standby Services (only for Co-generators) are set out as follows: Rates Commercial Tariffs Unit Top-up Standby**
Tariff C1 (Medium Voltage General Commercial Tariff)
2nd Edition • March 2017 23 Maximum demand charge per month RM/kW 30.30 14.00 For all kWh sen/kWh 36.50
Tariff C2 (Medium Voltage Peak/Off-Peak Commercial Tariff)
For each kilowatt of maximum demand per month during the peak period RM/kW 45.10 14.00 For all kWh during the peak period sen/kWh 36.50 For all kWh during the off-peak period sen/kWh 22.40
Rates Industrial Tariffs Unit Top-up Standby**
Tariff E1 (Medium Voltage General Industrial Tariff)
Maximum demand charge per month RM/kW 29.60 14.00 For all kWh sen/kWh 33.70
Tariff E2 (Medium Voltage Peak/Off-Peak Industrial Tariff)
For each kilowatt of maximum demand per RM/kW 37.00 14.00 month during the peak period For all kWh during the peak period sen/kWh 35.50 For all kWh during the off-peak period sen/kWh 21.90
Tariff E3 (High Voltage Peak/Off-Peak Industrial Tariff)
For each kilowatt of maximum demand per RM/kW 35.50 12.00 month during the peak period For all kWh during the peak period sen/kWh 33.70 For all kWh during the off-peak period sen/kWh 20.20
24 COST OF DOING BUSINESS IN PERAK, MALAYSIA Rates Mining Tariffs Unit Top-up Standby**
Tariff F1 (Medium Voltage General Mining Tariff) Maximum demand charge per month RM/kW 21.10 14.00 For all kWh sen/kWh 31.30
Tariff F2 (Medium Voltage Peak/Off-Peak Mining Tariff)
For each kilowatt of maximum demand per RM/kW 29.80 14.00 month during the peak period For all kWh during the peak period sen/kWh 31.30 For all kWh during the off-peak period sen/kWh 17.20
Rates Specific Agriculture Tariffs Unit Top-up Standby**
Tariff H1 (Medium Voltage General Specific Agriculture Tariff)
For each kilowatt of maximum demand per RM/kW 30.30 14.00 month For all kWh sen/kWh 35.10
Tariff H2 (Medium Voltage Peak/Off-Peak Specific Agriculture Tariff)
For each kilowatt of maximum demand per RM/kW 40.80 14.00 month during the peak period For all kWh during the peak period sen/kWh 36.50 For all kWh during the off-peak period sen/kWh 22.40
**Notes: i. iThis new Standby rate (as of 1st January 2014) is applicable to the following customers: • All new co-generation customers and, • Existing co-generation customers who wish to migrate to this new Standby rate ii. For existing co-generation customers who wish to maintain the previous Standby (firm and non-firm) rates, the previous Standby (firm and non-firm) rates together with the new top-up rate (as of 1st January 2014) will be applicable. iii. 1.6% for Feed-in Tariff (FiT) is imposed on customers’ monthly bill (excluding Domestic consumers with monthly consumption of 300kWh and below) effective from 1st January 2014)
2nd Edition • March 2017 25 Discounts and Offers i. Mining Industry Customers in the mining tariff category are entitled to a 25% discount on their monthly bills.
“Mining Consumer” refers to consumers whose electricity consumption is mostly for extracting minerals including dredging activities. Supporting document from Minerals and Geoscience Department, Ministry of Natural Resources and Environment is required. ii. Welfare Organizations Welfare organizations are eligible to a 10% discount on their monthly bills.
Welfare institutions such as orphanage and elderly home, home for the blind and disable, spastic’s center that are fully funded and administered by Ministry of Women, Family and Community Development or such institutions with source of income funded by public donation are eligible to a 10% discount on their monthly bills. iii. Institutions of Learning All government and private institutions of learning which are fully or partly funded by the government and normally administered by Ministry of Education are eligible to a 10% discount on their monthly bills. The following institutions are not eligible for the 10% discount;
1. Private institutions of learning without any aid from the government 2. Training institutions such as police academy, fire brigade academy, nursing college and bank training centre etc. iv. Places of Worship Places of worship registered under Registrar of Societies and/or its respective religious governing body such as State/Federal Islamic Religious Council/Department, Malaysian Buddhist Association, Malaysian Hindu Sangam, Sikh Naujawan Sabha, Sikh Youth Movement, Buku Panduan Katholik and Buku Panduan Gereja Malaysia dan Brunei are entitled to a 10% discount on their monthly bills. v. Tariff Riders A Tariff Rider is an electricity pricing option offered to eligible customers, on top of the current tariff structure in force. Eligible customers stand to gain additional savings when using electricity under specific situations. Available Tariff Rider schemes are as follows: • Off-peak Tariff Rider (OPTR) • Sunday Tariff Rider (STR)
26 COST OF DOING BUSINESS IN PERAK, MALAYSIA Off-Peak Tariff Rider
The Off Peak Tariff Rider (OPTR) scheme is offered to all medium voltage commercial and industrial customers who are currently not enjoying any off-peak usage tariff rates. These are: • Medium Voltage General Commercial Tariff C1 • Medium Voltage General Industrial Tariff E1 • Medium Voltage Special Industrial Tariff E1s
Customers enrolled in the OPTR scheme will enjoy a 20% discount on electricity usage during off- peak hours (10.00 p.m. to 8.00 a.m.) every day.
How This Affects Your Business Since the discount applies to off-peak electricity usage, you should reschedule your operations to increase production or extend your operating hours to anytime between 10.00 p.m. and 8.00 a.m. With the 20% discount applied to electricity usage during those hours, you stand to enjoy significant savings in your monthly electricity bill.
Eligibility You are eligible to enroll in the OPTR scheme if: • You are an existing TNB customer under the C1, E1, or E1s tariff. • You have been receiving electricity supply from TNB for at least six (6) months. • Your latest Load Factor is higher than the average Load Factor over six (6) months prior to your application. • You do not have an outstanding amount not more than the total deposit/bank guarantee paid. Otherwise this outstanding amount must be settled before applying.
Additional Requirements
• Additional cost will applies for meter change to enjoy the OPTR scheme. • You will also need to sign a supplementary supply contract.
The OPTR scheme will be activated in the following consumption period (meter reading month), as soon as all requirements are met and all metering-related works are completed.
Please note that you are not required to enrol in this scheme; you reserve the right to remain with your existing tariff rates should it prove more beneficial to you and your business.
Sunday Tariff Rider
The Sunday Tariff Rider (STR) scheme is offered to all medium or high-voltage industrial customers. These are: • Medium Voltage General Industrial Tariff E1
2nd Edition • March 2017 27 • Medium Voltage General Special Industrial Tariff E1s • Medium Voltage Peak/Off-Peak Industrial Tariff E2 • Medium Voltage Peak/Off-Peak Special Industrial Tariff E2s • High Voltage Peak/Off-Peak Industrial Tariff E3 • High Voltage Peak/Off-Peak Special Industrial Tariff E3s
Customers enrolled in the STR scheme will still pay the same rates on electricity usage as their current tariff; however Maximum Demand charges will not be applied to any electricity usage on Sundays.
How This Affects Your Business Since no Maximum Demand charges will be applied on Sundays, you should reschedule your operations to increase production or to extend your operating hours on Sundays. This will add more savings to your monthly electricity bill.
Eligibility You are eligible to enroll in the STR scheme if: You are an existing TNB customer under the E1, E1s, E2, E2s, E3, or E3s tariff. You do not have an outstanding amount not more than the total deposit/bank guarantee paid. Otherwise this outstanding amount must be settled before your application can be considered.
Additional Requirements Additional cost will applies for meter change to enjoy the STR scheme. You will also need to sign a supplementary supply contract.
Please note that you are not required to enroll in this scheme; you reserve the right to remain with your existing tariff rates should it prove more beneficial to you and your business.
Time of Use (TOU)
Time of Use (TOU) tariff scheme offers different rates at different times of the day. For example, tariff rates during Off-Peak period will be lower than Peak Period. TOU tariff has 2 time zones; Peak and Off-Peak.
Time Zone Hours Peak 08:00 – 22:00 hours
Off-peak 22:00 – 08:00 hours
28 COST OF DOING BUSINESS IN PERAK, MALAYSIA TOU tariff scheme is offered to medium voltage and high voltage customers under the following tariff category:
Tariff Category Commercial Tariff C2 Industrial Tariff E2, E2s, E3, E3s Agriculture Tariff H2 Mining Tariff F2
Enhanced Time of Use (ETOU)
ETOU tariff scheme is introduced as an extension to the TOU tariff. Under this scheme, there will be three (3) time zones for Energy charge with Peak, Mid-Peak and Off-Peak rates.
On the other hand, Maximum Demand charge will have two (2) time zones with Peak and Mid-peak rates.
The scheme is also divided as follows:
• 3 times zones with 3 energy rates for Energy charge: Peak, Mid Peak and Off-Peak Monday to Friday • 2 times zones with 2 rates for Maximum Demand charge: Peak and Mid Peak • 1 time zone with 1 energy rate: Weekends and Off-Peak rate only Public Holiday • Maximum Demand Charge is waived during Saturday, Sunday, and Public Holidays
Note: ETOU will only include these fixed Public Holidays: New Year (1 January), Labour Day (1 May), Merdeka Day (31 August), Malaysia Day (16 September) & Christmas (25 December)
ETOU Time Zones
ETOU tariff scheme has 3 time zones (Peak, Mid-Peak and Off-Peak) on Monday Friday Only 1 time zone (Off-Peak) applied on Saturday, Sunday and Public Holidays
Enhanced Time of Use Zones Time Zone Hours Mid-Peak 08:00 – 11:00 Peak 11:00 – 12:00 Mid-Peak 12:00 – 14:00
2nd Edition • March 2017 29 Peak 14:00 – 17:00 Mid-Peak 17:00 – 22:00 Off- Peak 22:00 – 08:00
Enhanced Time of Use (ETOU) Time Zones
Weekday Saturday, Sunday and Public Holidays
0.00 0.00 22.00
18.00 PM AM 06.00 18.00 PM AM 06.00 17.00
08.00
14.00 11.00 12.00 12.00
Peak Mid-Peak Off-Peak
The ETOU scheme will be offered as an option based on the schedule below:
Implementation of Enhanced Time of Use (ETOU) Schedule
Date Tariff Categories • Commercial customers at medium voltage (tariff C1 and C2) Starting from • Industrial customers at medium and high voltages (tariff E1, 1 January 2016 E1s, E2, E2s, E3 and E3s) Starting from • Industrial customers at low voltage (tariff D and Ds) 1 January 2017
Note: However, low voltage Industrial customers may opt for the ETOU scheme starting from 1st January 2016, provided that they would upgrade to medium voltage tariff at their own cost.
30 COST OF DOING BUSINESS IN PERAK, MALAYSIA ETOU tariff scheme will be offered as an option to low, medium and high voltage customers under the following tariff category: Tariff Category Commercial Tariff C1, C2 Industrial Tariff D, Ds, E1, E1s, E2, E2s, E3, and E3s
ETOU Rate
Demand Charge (RM/kW/ Energy Charge (sen/kWh) Tariff Category Month) Peak Mid-Peak Peak Mid-Peak Off Peak
Commercial C1 MV ETOU 34.00 28.80 58.40 35.70 28.10
Commercial C2 MV ETOU 48.40 42.60 63.60 33.90 22.40
Industrial D LV ETOU 42.10 37.20 48.40 32.70 24.90
Industrial E1 LV ETOU 35.50 29.60 56.60 33.30 22.50
Industrial E2 LV ETOU 40.00 36.00 59.20 33.20 21.90
Industrial E3 LV ETOU 38.30 35.00 57.60 32.70 20.20
*Source: Tenaga Nasional Berhad (TNB) - www.tnb.com.my
WATER RATES
In Malaysia, state governments are responsible for the development, operation and maintenance of water supplies. Entities for States Water Supply Authorities in Malaysia are; Public Works Department, Water Supply Department, Water Supply Board and Water Supply Company.
PERAK WATER BOARD MONTHLY WATER RATES
Tariff Minimum Type of Water Supply Rate Code Payment 0 - 10m³ = RM 0.30/m³ Domestic / Government 11 11 - 20m³ = RM 0.70/m³ RM 3.00 >20m³ = RM 1.03/m³
2nd Edition • March 2017 31 0 - 10m³ = RM 1.20/m³ Business / Industrial 21 11 - 20m³ = RM 1.40/m³ RM 12.00 >20m³ = RM 1.61/m³ House of Worship / 0 - 20m³ = RM 0.30/m³ 41 RM 3.00 Welfare >20m³ = RM 0.34/m³ 0 - 20m³ = RM 0.60/m³ 81 RM 100.00 Bulk >20m³ = RM 0.69/m³
*Source: Lembaga Air Perak - www.lap.com.my
SEWERAGE RATES
Indah Water Konsortium Sdn. Bhd, a company owned by the Ministry of Finance Incorporated, is Malaysia’s national sewerage company which has entrusted with the task of developing and maintaining a modern and efficient sewerage system for all Malaysians. Since then, Indah Water has taken over the sewerage services from local authorities in all areas except the States of Kelantan, Sabah, Sarawak, Majlis Bandaraya Johor Bahru and Majlis Perbandaran Pasir Gudang, KEJORA and KETENGAH.
Domestic Customers
Domestic Customer Per month
Low cost houses and government quarters in categories F,G,H and I (receiving either Individual Septic Tank or Connected Sewerage RM2.00 Services) Houses in Kampung, New Villages and Estates (receiving either RM3.00 Individual Septic Tank or Connected Sewerage Services) Premises and government quarters in categories A, B, C, D and E RM6.00 receiving Individual Septic Tank Services. Premises and government quarters in categories A, B, C, D and E RM8.00 receiving connected Sewerage Services
Industrial Customers
Industrial Customers Per head per month
Premises receiving Individual Septic Tanks Services RM2.00
Premises with Connected Sewerage Services RM2.50
32 COST OF DOING BUSINESS IN PERAK, MALAYSIA 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).
Monthly basic charge for Monthly basic charge for premises receiving Annual Value of Property premises with individual connected sewerage septic tanks services
RM RM RM 2,000 or less 8 7 2,001 - 5,000 14 8 5,001 - 10,000 20 14 10,001 - 20,000 26 19 20,001 - 30,000 29 21 30,001 - 40,000 32 23 40,001 - 50,000 35 25 50,001 - 60,000 38 27 60,001 - 70,000 41 29 70,001 - 80,000 44 31 80,001 - 90,000 47 33 90,001 - 100,000 50 35 100,001 - 200,000 180 120 200,001 - 400,000 495 330 400,001 - 600,000 522 348 600,001 - 800,000 1,980 1,320 800,001 - 1,000,000 2,160 1,440 1,000,001 - 3,000,000 4,320 2,880 3,000,001 - 5,000,000 8,800 5,400 5,000,001 - 7,000,000 9,200 6,000 More than 7,000,000 9,600 6,600
2nd Edition • March 2017 33 Water Usage Excess Charge
Up to 100 m3 No charge More than 100 m3 30 sen per m3 More than 200 m3 45 sen 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.
*Source: Indah Water Konsortium Sdn Bhd - www.iwk.com.my
SCHEDULE 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 Waste Type Group Mineral Oil Wastes A Wastes containing lubricating oil, hydraulic oil, etc. Organic Chemical Wastes Containing Halogens and/or Sulphur > 1% B Freon, PVC wastes, chloroform, solvents, capacitors and transformers containing PCB, etc. Waste Solvents Containing Halogens and/or Sulphur < 1% C Acetone, alcohols (eg. ethanol, methanol), benzene, turpentine, xylene, etc. Waste should be pumpable, containing < 50% water and 18MJ/kg calorofic value Organic Chemical Wastes Containing Halogens and/or Sulphur < 1% H Glue, latex, paint, phenol, printing ink, synthetic oils, soap, epoxy, etc. Wastes Containing Mercury K Mercury, vapour lamps, COD-fluids, mercury batteries, etc. Pesticide Wastes T Insecticides, fungus and weed killers, rat poison, etc
Inorganic Wastes X Acids, alkaline, sodium hypochlorite, inorganic salts, metal hydroxide sludge, chromate and cyanide waste, etc. Miscellaneous Z Medicine wastes, lab-packs, asbestos wastes, mineral sludges, isocyanates (MDI,TDI), batteries, etc.
34 COST OF DOING BUSINESS IN PERAK, MALAYSIA Organic Wastes for Incineration
Packaged Wastes* Bulk Wastes Pumpable Pumpable Solid Solid liquid liquid Waste Group per tonne / per pallet per tonne / per pallet RM RM RM RM A 810 - 630 - B 3,150 3,600 - - C 1,350 - - - H/Z 1,890 2,790 1,800 2,700 T 3,150 3,600 - -
Tenorm Waste for Incineration
Packaged Waste* Bulk Waste Waste Group per tonne / per pallet per tonne / per pallet RM RM
Z 4,000 Not Applicable
Inorganic Wastes for Physical/Chemical Treatment
800-litre Pallet Tank 200-litre Drum per per tonne / per tonne / per pallet Waste Group pallet
RM RM
Acid Wastes Without Chromate (X) 1,440 1,620
Alkaline Wastes Without Cyanide (X) 1,440 1,620
Chromate Wastes (X) 1,800 1,980
Cyanide Wastes (X) 1,800 1,980
Mercury Wastes (K) 3,600 3,780
2nd Edition • March 2017 35 Inorganic Wastes for Solidification
Packaged Wastes* per Waste in Bulk per Waste Group tonne / per pallet tonne / per pallet RM RM X / Z 810 765
Inorganic Waste for Direct Landfill
Packaged Wastes* per tonne Waste in Bulk per Waste Group / per pallet tonne / per pallet RM RM X / Y 495 450
Rubber Sludge Waste for Rubber Sludge Landfill
Packaged Wastes* per tonne Waste in Bulk per Waste Group / per pallet tonne / per pallet RM RM
X 700 Not applicable
Encapsulation
Packaged Wastes* per Waste Group (Z) tonne / per pallet RM
Contaminated Crushed Drum and Other Contaminated Waste 1,500
36 COST OF DOING BUSINESS IN PERAK, MALAYSIA Cementation
Packaged Wastes* per Waste Group (Z) tonne / per pallet RM
Dry Cell Batteries and Other Miscellaneous Wastes 900
*Note:Packaged waste refer to wastes packed in standard 200-litre drums or 1m3 PP Bags.
Transportation Rates
Per Pallet 1st Tier 2nd Tier Per Metric Tonne KM State Min. 18 above pallet 18 pallet RM RM RM 114 Negeri Sembilan 52.88 26.44 66.10 248 Kuala Lumpur (Wilayah Persekutuan) 59.73 29.87 74.66 274 Melaka 60.71 30.36 75.89 374 Selangor 65.61 32.80 82.01 652 Perak 79.32 39.66 99.14 722 Johor 82.25 41.13 102.82 760 Pahang 84.21 42.11 105.26 1050 Pulau Pinang 113.59 56.79 141.98 1152 Terengganu 180.17 90.09 225.22 1166 Kedah 181.15 90.58 226.44 Kedah (Kulim) 142.24 71.12 177.80 1190 Kelantan 183.11 91.56 228.89 1240 Perlis 184.09 92.04 230.11
Note: For waste on pallets, the rates are quotes in 2 tiers. The 1st tier is for a minimum of 18 pallets and the 2nd is for any pallets above the minimum 18 pallets in the same consignment. Source: Kualiti Alam Shd. Bhd.-www.kualitialam.com.my
2nd Edition • March 2017 37 GAS & FUEL COSTS
Per litre RM Petrol (Unleaded) - Retail 1.70 - Bulk Consumers* 1.85 Diesel - Retail 1.55 - Bulk Consumers* 1.60 Medium Fuel Oil 2.25 Per kg RM LPG - Bottled 1.90 - Bulk Consumers* 3.52
Note: Kuala Lumpur prices quoted * Prices fluctuate from time to time based on contracts and current crude oil market condition.
Natural Gas Tariff for Non-Power Sector in Peninsular Malaysia
Effective Tariff GCPT Gas Tariff Applicability Range Base Tariff (less GCPT Rebate Category MMBtu/year (RM/MMBtu) rebate) (RM/MMBtu) (RM/MMBtu) A Residential Customers 19.26 -0.40 18.86 B 0 - 600 24.86 -0.40 24.46 C 601- 5,000 24.99 -0.40 24.59 D 5,001 – 50,000 25.24 -0.40 24.84 E 50,001 – 200, 000 26.33 -0.40 25.93 F 200 001 – 750, 000 26.33 -0.40 25.93 L >750, 000 27.21 -0.40 26.81 Average Base Tariff 26.71
Note: MMBtu = Million British thermal unit GCPT = Gas Cost Pass-Through
*Source: Gas Malaysia Berhad - www.gasmalaysia.com
38 COST OF DOING BUSINESS IN PERAK, MALAYSIA TELECOMMUNICATIONS RATES
Telephone Charges
With effect from 1 January 1999, under the Equal Access Regime, telephone subscribers in Malaysia can select any network from telephone companies for their national and international calls. As for cellular phones users, there are variety service operators to choose from. The government has introduced the concept of tariff ceilings for fixed line and cellular services, the rates depend on the market competition as the rates are not regulated. The telecommunications service operators may set their rates at par or below the ceiling rates.
Local Calls (Businessline)
Deposit
Sole Proprietorship RM200 Partnership (eg Enterprise) RM300 Private Limited (eg Sdn Bhd) RM400 Public Limited (eg Bhd) RM500 Stamp Fee RM10
Rental Charges
Rental Charges Capacity Business Rate (Monthly) Peninsular Malaysia Sabah/Sarawak RM45.00 RM45.00
Price is exclusive of GST.
Initial Charges
RM Installation Charge – pay to Telekom Malaysia RM50.00
Wiring Charge – payment to contractor appointed by TM
• Existing wiring RM30.00
2nd Edition • March 2017 39 • New wiring Note: i) Every additional 1 meter is charged RM5.00. RM50.00 ii) The charges are also applicable for the external removal (ER) Reconnection Fee - when a subscriber’s service has been temporarily disconnected, a charge will be imposed for service RM10.60 reconnection.
Call Charges
Local call is charged at 8 sen for the first 2 minutes or part thereof and4 sen for each subsequent minute or part thereof. Price is exclusive of GST.
Long Distance Calls
With International Call service, customers can dial direct overseas without the assistance of an operator. This facility allows customers to enjoy cheaper and faster overseas connections. Charges for International Call calls are itemized in the telephone bill. Long Distance calls consist of National Calls and Long Distance Calls.
National Calls
National calls are self-dialed calls from a town to another beyond the adjacent charge area. Charges from Homeline/Businessline phones to Homeline/Businessline phones:
Distance (km) Operator Full Rate Reduced rate Homeline/Businessline Assisted** 7.00 a.m. - 7.00 p.m. - to (charge 6.59 p.m. 6.59 a.m. Homeline/Businessline per 3 mins)
Band A (Not Exceeding 10 sen/50 seconds 10 sen /60 seconds* 35 sen 50km)
90 sen Band B (50km - 150km) 10 sen /20 seconds 10 sen/40 seconds
Band C (Exceeding 10 sen /7 seconds 10 sen/14 seconds RM2.70 150km)
Price inclusive of GST Note: * Currently, TM charges for each 75 seconds ** Operator Assisted - Service charge per effective call is RM1.50 (US$ 0.38) - Per block of 3+3
40 COST OF DOING BUSINESS IN PERAK, MALAYSIA Charges from Homeline/Business phones to Mobile phones:
MTX Area Full Rate Reduced rate Operator Assisted Homeline/Businessline to 9.00 a.m. - 9.00 p.m. - (charge Mobile 8 .59 p.m. 8.59 a.m. per 3 mins) Band L (within MTX) 10 sen/20 seconds 10 sen /30 seconds RM2.10 Band M (Adjacent MTX) 10 sen/8.6 seconds 10 sen /15 seconds RM2.10 Band N (Non-Adjacent MTX) 10 sen/8.6 seconds 10 sen /15 seconds RM2.10
Price inclusive of GST
Note: The above call charge is effective from 1st Jan 2005 A service charge of RM1.50 (US$ 0.38) is levied for the effective call made via Operator Assisted service MTX denotes Mobile Telephone Exchange Area
Charges from Homeline/Businessline phones to Neighbouring countries:
Operator Assisted* Standard Rate (charge per 3 mins) Border Area to Singapore**/Brunei*** 10 sen/20 seconds RM0.95
Price inclusive of GST *Note: Operator Assisted - Service charge per effective call is RM1.50
Operator Full Rate Reduced rate Assisted* 7.00 a.m. - 6.59 p.m. 7.00 p.m. - 6.59 a.m. (charge per 3 mins) Rest of Peninsular Malaysia 10 sen/3.1 seconds 10 sen/5.8 seconds RM6.00 to Singapore**
Sabah/Sarawak to Singapore 10sen/2.3 seconds 10 sen/4.6 seconds RM7.80
Rest of Sabah/Sarawak to 10 sen/3.1 seconds 10 sen/5.8 seconds RM6.00 Brunei**
Price inclusive of GST Note: * Operator Assisted - Service charge per effective call is RM1.50 (US$ 0.38) ** Denotes area other than border area
Price is exclusive of GST
2nd Edition • March 2017 41 International Calls
International Call is charged in blocks of 6 seconds or part thereof. The charge for each block depends on the country to which the International Call is made.
Time Difference Country Country Code Rate per minute (RM) (Hours) Australia 61 0 to +2 0.90 China 86 0 2.40 Germany 49 -7 1.80 Japan 81 +1 1.80 UK 44 -8 0.90 USA 1 -13 to -16 0.90
*Source: Telekom Malaysia - www.tm.com.my
INTERNET SERVICES
The major licensed Internet Service Providers (ISPs) in Perak are TM Net Sdn. Bhd. (Telekom Malaysia Berhad), DiGiNet (DiGi Telecommunications Sdn. Bhd.), Celcome, UMobile, Yes 4G, and Maxis Broadbands Sdn. Bhd. The major ISPs are TM Net (Telekom Malaysia Berhad wholly-owned company).
Dial-up Connection
The dial-up connection that provide by TM is called 1515. 1515 provides low-cost dial-up Internet connection for users who are not looking to use the Internet frequently and prefer to connect at their convenience by using a computer and modem connected over a normal telephone line. Available Packages
Category Plan Name Description
Pay RM10.00 one time registration fee. WAIVE first year annual subscription fee (charge RM24.00 for 2nd year onwards). Personal, Student 1515 RM10.00 - & Disable 1200 Minutes VSAS Pay RM10.00 monthly and get: • 1000 minutes of Internet access. • FREE additional 200 minutes of Internet access.
42 COST OF DOING BUSINESS IN PERAK, MALAYSIA Pay RM10.00 one time registration fee.
WAIVE first year annual subscription fee 1515 RM10.00 - (charge RM24.00 for 2nd year onwards). 1000 Minutes plus
X-BLOCKER* & VSAS Pay RM10.00 monthly and get: • 1000 minutes of Internet access
Price inclusive of GST
Terms & Conditions i. Balance of minutes could not be forwarded to the next month ii. Additional minutes of Internet access will be charged at 1 sen/min and all 1515 call charges is at 1.5 sen/min iii. Additional minutes for Streamyx Hotspot will be charged at 5 sen (US$ 0.01)/min iv. Applicable to new applicants under Personal, Student & Disable category only v. First bill will consists of an additional charge of RM10 (US$ 2.50) one month in advance apart from the charges as per mentioned in the table
Other Packages
Annual Access Fee Categories Registration Fee Subscription (sen/min)
School RM25.00 RM24.00 1.0
Organisation RM50.00 RM60.00 2.5
Usage Charges Access Fee Call Charges
1515 access code 1 sen/min 1.5 sen/min 8, 7 or 6 digit access code (alternative access 1 sen/min 4 sen/min & above number) Note: Call charges for the 8/7/6 digit PSTN access numbers is based on local call charges. Long distance charge may apply if you dial outside your local area.
4 MB for mailbox storage are provided (2 MB for incoming and 2MB for outgoing). However, customers can upgrade their mail size storage and charges are as follows:-
Size Monthly Fee 4 MB Free 10 MB Free
2nd Edition • March 2017 43 15 MB RM 2.00 20 MB RM 4.00 25 MB RM 6.00 X MB, X Starts from 10 in increment of 5 MB (X-10)/5 * RM 2.00
Note: The service for additional e-mail space for 1515 account will be charged monthly. If customers wish to terminate this service, kindly inform before the following year's billing cycle. TM reserves the right to amend the terms and condition contained at any time and customers shall be bound to the terms and condition amended.
Domestic Digital Leased Line
Price Price Price Price Price Price (RM per (RM per (RM per (RM per (RM per (RM per Destinations year) year) year) year) year) year) 64 Kbps 128 Kbps 256 Kbps 512 Kbps 1 Mbps 2 Mbps K.L. - Bukit Damansara 10,800 11,700 27,600 30,000 34,200 54,300 K.L. - Bukit Jalil 15,000 19,500 38,400 46,200 58,200 85,200 K.L. - Shah Alam 17,400 24,900 48,000 58,200 73,200 102,000 K.L. - Cyberjaya 17,400 24,900 48,000 58,200 73,200 102,000 K.L. - Seremban 24,600 41,100 76,800 94,200 118,200 152,400 K.L. - Malaka 27,624 45,258 83,226 105,540 135,210 176,970 K.L. - Ipoh 30,120 48,690 88,530 114,900 149,250 197,250 K.L. - Kuantan 31,080 50,010 90,570 118,500 154,650 205,050 K.L. - K.Terengganu 35,640 56,280 100,260 135,600 180,300 242,100 K.L. - Pulau Pinang 35,880 56,610 100,770 136,500 181,650 244,050 K.L. - Johor Bahru 35,928 56,676 100,872 136,680 181,920 244,440 K.L. - Kota Bharu 37,896 59,382 105,054 144,060 192,990 260,430 K.L. - Alor Setar 39,096 61,032 107,604 148,560 199,740 270,180 K.L. - Kangar 41,064 63,738 111,786 155,940 210,810 286,170 K.L. - Kuching 68,568 101,556 170,232 259,080 365,520 509,640 K.L. - Kota Kinabalu 84,120 122,940 203,280 317,400 453,000 636,000
44 COST OF DOING BUSINESS IN PERAK, MALAYSIA Internet Data Centre (IDC)
This service offer co-location and hosting services to customers. IDC offers latest physical environment necessary to keep customers’ servers running at a very high speed access for 24 hours a day, 7 days a week and 365 days a year. Nationwide, TM Net has few data centers and located at major towns with 155 Mbps connectivity.
Co-location service allows customers to place a portion or all of client systems within the IDC. The client can cut down on ongoing network costs and scale internet operations easily with the growth of business.
Broadband Services
TM Net offers broadband services using fixed and wireless technology to both residential and corporate customers. The wireless broadband service offered by TM Net is available in major towns and being extended to other areas nationwide.
UniFi Installation
FTTH Setup
• Voice for UniFi on FTTH will be served via ONU • IPTV & Internet (WiFi) only will be delivered via RG/BG (with TR069 capability) • Voice can be offered both via Existing PSTN Infra and UniFi Infra. Voice served from ONU will be given a new PSTN number, while maintaining the existing PSTN number on existing copper • Installation time for fibre installation in landed properties will take between 5-8 hours
VDSL2 Setup • Voice for UniFi on VDSL2 will be served via VDSL2 modem • IPTV & Internet (WiFi) will be delivered via RG (with TR069 capability) • High rise buildings utilising Very High Speed Digital Subscriber Line 2 (VDSL2) technology will be between 2-3 hours to install
Internal Setup i Standard Installation • Standard installation is defined as the normal installation process that is carried out by TM or its Authorised Contractors for UniFi service installation • Standard installation are: • i.< 15m of fibre cable FTB - BTU • ii.< 15m of RJ45 cable BTU – RG – STB/PC • iii.< 15m of RJ11 cable BTU – DECT Phone • iv.< 30m Raceway (casing for wiring)
2nd Edition • March 2017 45 ii Optional Installation Optional installation refers to installation activity that is not covered under the scope of the standard installation provided
Description Charging Parameter Pricing
Outside pole to FTB via surface 1st 30m (Pole to FTB) RM450 or underground wiring Additional metre RM6 1st 15m (FTB-BTU) RM290 3m surface wiring Additional metre RM20 1st 30m RM170 Wiring over the ceiling* Additional Metre RM2
*Charges do not include cost of standard installation cabling (internet fibre,RJ45 and RJ11) beyond 15 metres. Please refer to the prices in standard installation table
Optional installation are: i. 1 unit (5metres) LAN Cable = RM25/unit ii. 1 unit (5metres) Phone Cable = RM15/unit iii. 1 unit (5metres) Raceway = RM25/unit iv. 1 unit (5metres) Fibre Cable = RM50/unit
Multiple Line Installation • Multiple Line installation are for customer who request more than 2 voice line • Equipments that provided for the installation are: i. Single Line Telephone (SLT) with 1 year warranty ii. DECT Phone with 1 year warranty iii. Analog Telephone Adaptor (ATA) with lifetime warranty
UniFi Business
Download Download Upload Simple Voice Charge/month Installation Volume (Mbps) (Mbps) (sen/minute) RM299 Unlimited 30 10 Free (45ft wiring only) 12
RM349 Unlimited 50 20 Free (45ft wiring only) 12
RM399 Unlimited 100 50 Free 0
Office in the Box
Office in a Box is a complete yet simple communications solution that designed to meet the need of SOHO, small as well as medium businesses. Office in a Box provides exceptional value with attractive
46 COST OF DOING BUSINESS IN PERAK, MALAYSIA call rates and unlimited access to Business Broadband.
Charge/month Download Speed Upload Speed RM198 Up to 1Mbps Up to 384kbps RM258 Up to 2Mbps Up to 384kbps RM268 Up to 4Mbps Up to 512kbps RM308 Up to 8Mbps Up to 512kbps
RM88 worth of call value at normal rates Fixed Line to Fixed Line : 10sen/min Fixed Line to Mobile : 15sen/min
Direct Over Metro-E (DOME)
It is a cost effective and flexible service provide by TM that allows you to upgrade to a higher bandwidth without incurring the costs of setting up new equipments or additional training. Based on the Carrier Class Ethernet industry standards, this technology helps eliminate barriers to efficiency, speed and performance by simplying networks and connecting people more efficiently.
Benefits DOME
• High Speed Bandwidth It is available from 4Mbps to 1Gbps and it uses simple, cost-effective extensions to familiar Ethernet LAN technology. With the unique high scalability feature, DOME offers flexible bandwidth upgrades best suited according to your business expansion.
• High Scalability DOME enhances the ability to use a network service that is ideal for wide variety of business applications with voice, video and data.
Provides cost-effective solution as shared Metro-E uses common enterprise IT infrastructure and resources to reduce costs. With bandwidth scalability and flexibility, you only pay for what you need. Metro-E is simple to manage. All that is required is a standard connection from your Ethernet switch or routers to your network.
• Future Proof Technology Metro-E gives you the ‘peace of mind’ to focus on expanding your business to the fullest potential. By deploying Metro-E, your company will no longer need to resort to different technologies to meet your company’s current and future telecommunication needs.
*Source: Telekom Malaysia - www.tm.com.my
2nd Edition • March 2017 47 5 TRANSPORTATION COSTS
OCEAN FREIGHT RATE
Average Freight Rate
Rates quoted are subject to: • THL/THD/DOC and EDI • BAF/ CAF/WAR RISK/ PEAK SEASON surcharges. • Based on market condition
20-ft container 40-ft container From Port Klang to: US$ US$ AUSTRALIA (Main ports) 450 900 CHINA (Shanghai) 100 200 EUROPE (Main ports) 1,625 3,400 INDIA (Navasheva) 600 1,200 JAPAN (Main ports) 400 800 KOREA (Pusan) 400 800 WEST MEDITERRANEAN (Main ports) 2,000 4,100 NEW ZEALAND 950 1,900 SOUTH AFRICA 1,300 2,500
*Source: Malaysian Investment development Authority (MIDA) – www.mida.gov.my
COURIER SERVICE RATE
Various Malaysian and international companies provide courier services in Malaysia.
Documents Merchandise Max. Destination Next 500 First 500 Next 500 Weight Country First 500 gm gm gm gm Limit (kg) RM RM RM RM Australia 60 15 75 14 20 Germany 70 20 100 19 23
48 COST OF DOING BUSINESS IN PERAK, MALAYSIA Japan 47 12 64 15 30 UK 70 20 100 15 20 USA 65 20 100 20 No Limit
Source: Pos Malaysia Berhad - www.pos.com.my
AIR CARGO RATE
From Kuala Lumpur to:
Destination SCR* Minimum Rates/kg Country Item No. Weight (kg) RM AUSTRALIA Minimum 113.00 Normal 16.40
Perth 45 13.00 250 11.08 500 10.46 Minimum 113.00 Normal 20.05 Sydney 45 15.74 250 12.19 500 11.72 GERMANY Minimum 150.00 Cologne/Frankfurt Normal 33.07 45 25.95 Hamburg/Stuttgart 250 15.36 JAPAN Minimum 113.00 Osaka/Tokyo Normal 18.91 45 14.73
2nd Edition • March 2017 49 Destination SCR* Minimum Rates/kg Country Item No. Weight (kg) RM KOREA Minimum 113.00 Seoul Normal 20.93 45 16.25 UNITED KINGDOM Minimum 150.00 Normal 35.63 London 45 27.87 250 15.68 USA Minimum 165.00 Normal 30.89 45 24.89 100 24.50 200 22.88 300 20.95 400 20.73 New York 500 19.68 4314 300 18.45 4314 500 17.94 4314 1000 17.35 4416 100 18.11 4416 500 17.53 4416 1000 15.99
50 COST OF DOING BUSINESS IN PERAK, MALAYSIA Destination SCR* Minimum Rates/kg Country Item No. Weight (kg) RM Minimum 165.00 Normal 29.24 45 23.08 100 22.88 200 21.23 300 19.33 400 19.11 West Coast 500 18.03 4314 300 16.78 4314 500 16.26 4314 1000 15.69 4416 100 16.53 4416 500 16.14 4416 1000 14.02
*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: Quality Standards & Tariffs, MasKargo-www.maskargo.com
2nd Edition • March 2017 51 AVERAGE HAULAGE RATES
Haulage base: Port Klang (North Port)
Haulage Road Tolls FAF Total Rates Effective from 1st Jan. Area 12.47% 20’ & 40’ 2007 Period from 20’ & 40’ (RM) (Actual at 1st June (RM) cost) 2011 (RM) PORT KLANG - Shah Alam 533.00 19.80 86.29 639.09 PETALING JAYA - Sungai Way 605.00 23.20 97.95 726.15 SELANGOR - Banting 677.00 0.00 109.61 786.61 PERAK - Tanjung Malim 1,515.00 59.80 245.28 1,820.08 PENANG - Butterworth/ 2,883.00 194.80 466.76 3,544.56 Seberang Prai KEDAH – Kulim 2,847.00 240.00 460.93 3,547.93 PERLIS – Kangar 3,488.00 240.00 564.71 4,292.71 NEGERI SEMBILAN – Nilai 1,162.00 56.40 188.13 1,406.53 MELAKA - Air Keroh Industrial 1,762.00 103.40 285.27 2,150.67 Area KELANTAN - Kota Bharu 3,963.00 197.80 641.61 4,802.41 PAHANG – Kuantan 2,328.00 197.80 376.90 2,902.70 TERENGGANU - Kerteh 2,782.00 197.80 450.41 3,430.21 JOHOR - Pasir Gudang 2,818.00 211.00 456.23 3,485.23
Note: FAF -Fuel Adjustment Factor *The hauliers rate mentioned is only average indicative rate obtained in 2011 before the implementation of the anti-competition act. Hauliers’s tariff is currently liberalized and is on willing buyer willing seller basis.
Source: The Hauliers*
52 COST OF DOING BUSINESS IN PERAK, MALAYSIA IPOH CARGO TERMINAL SDN. BHD. (ICT)
• The idea of ‘Dry Port’ or ‘Inland Port’ as the best alternative to a seaport was developed by the Malaysian Government. The main aim is to provide all the facilities and logistic services that are available at seaport at strategic inland location. It is basically an extension of port facilities into the hinterland of a seaport, except in this case without the sea and for the reason the term ‘Dry Port’is being used. • Based on this concept, Malaysia established its first ‘Dry Port’ at Jalan St. John, Ipoh in the state of Perak. It was incorporated under the Company’s Act as a private concern under the name Ipoh Cargo Terminal (ICT) in November 1989 under the auspices of the Ministry of Transport with the participation of Keretapi Tanah Melayu Bhd, Perak State Economic Development Corporation (SEDC), Port Klang Authority (PKA), Penang Port Commission (PPC) and Johore Port Authority (JPA).
• The project was launched on 16th July 1989 and the construction of the terminal was completed in October. ICT commenced operation on 1st November 1989 and was officially opened by the Honorable Minister of Transport on 10th November the same year.
• Established primarily to help and provide the Perak-based traders an alternative in choice of ports for their business, ICT has now become the main port of import and export for most of the major and small scale industries located within Kinta Valley and its surrounding.
Our Services
• Cargo Handling Both conventional and containerized cargo
• Warehousing Storage of Bonded & Non bonded Cargo.
• Open Storage/Container Storage Storage facility for heavy lift cargo and empty/laden container storage for both import/export.
• Port Services, Documentation and Custom Clearance Processing of Customs 8 for transshipment of import container from seaport to ICT and clearance of Customs K1/K2/K3/K8/K9 for seaport/export shipment via ICT.
• Maintenance and Repair of Containers Apart from being a “Dry Port” also function as a depot for storage of MT containers for liners who choose to use the terminal facility for their shippers within the Kinta Valley.
• Weighbridge Service The terminal is equipped with a weighing of all export containers.
2nd Edition • March 2017 53 For further information:
IPOH CARGO TERMINAL SDN BHD (204706-X) Jalan St. John, 30200 Ipoh, Perak Darul Ridzuan, Malaysia
No Tel : 05-5272415 / 05-5273416 / 05-5277045 No Fax : 05-5273413 Website : www.ictipoh.com.my
Contact person: 1. Ms. Rosnawati bt. Ramli ([email protected])
2. Ms. Nor Hafizah bt. Abdul Halim ([email protected])
ICT’s Laden & Empty Container Consolidate Rates for Port Klang Sector.
Northport Area Westport Area 20’FT 40’FT 20’FT 40’FT Empty Container RM310.00 RM515.00 RM340.00 RM585.00 FCL Laden Container RM470.00 RM715.00 RM470.00 RM715.00 LCL Laden Container RM540.00 RM800.00 RM540.00 RM800.00 Container + cargoes weight exceed Overweight Surcharge RM600.00 24 tonnes & above One Way Laden (by road) 20’FT 40’FT Port Klang Sector (FCL) RM1000.00 RM1300.00 Port Klang Sector (LCL) RM1070.00 RM1400.00 Lifting Charges 20’FT 40’FT Empty LOLO RM22.00 RM38.00 Laden LOLO RM43.00 RM73.00 Storage 20’FT 40’FT Empty Storage RM2.00 p/day RM4.00 p/day No free period Import: 5 days free storage Laden Storage RM4.00 p/day RM8.00 p/day Export: 7 days free storage
54 COST OF DOING BUSINESS IN PERAK, MALAYSIA Note: All the published rates are subject to any changes / review of cost Warehouse rates
Type of Unit No. Duration Price (RM) Warehouse service Calculation a) Monthly M3 / Tonne 8.00 Bonded / Non Bonded b) Daily M3 / Tonne 2.00 Bonded / Non Bonded 1. Storage c) Leasing Sq.ft 3.00 Non Bonded d) Monthly Sq.ft 1.00 Open Storage
2. Handling Per Move M3 / Tonne 3.00 Bonded / Non Bonded
From value 3. Service 0.125% Bonded of the cargo 20’ - Stuffing/ Per Container RM 85.00 4. Per move Unstuffing 40’ - RM 150.00 20’ - RM 43.00 5. Laden Lolo Per Move Per Container 40’ - RM 73.00
LUMUT MARITIME TERMINAL SDN BHD
Lumut Port is strategically located off the Straits of Malacca, on the west coast of Peninsular Malaysia, in Perak. The Port was established as a State Port and a catalyst for economic growth, development and industrialization of the State and the nation in general.
It owns and operates the port at Kg Acheh, Lumut which was officiated on 24th July 1995 and have been in operation for more than 20 years. In 2002, Lumut Port began to operate and manage Lekir Bulk Terminal.
Lumut Port Industrial Park provides land space for warehousing or transshipment and is on offer for local and foreign investors who are able to contribute to the throughput of the Port.
2nd Edition • March 2017 55 Lumut Maritime Terminal (LMT) Lumut Port Industrial Park (LPIP) Lot 1, Lumut Port Industrial Park, Jalan Kg Acheh, 32000 Sitiawan, Perak Darul Ridzuan, Malaysia. +605-692 8111 +605-692 7179 [email protected]
LEKIR BULK TERMINAL (LBT) Pulau Lekir Satu, Jalan Teluk Rubiah, 32040 Seri Manjung, Perak Darul Ridzuan, Malaysia +605-688 9166 +605-688 9800
Mon - Fri 8.30am - 6.00pm Closed on Saturday, Sundays and Public Holidays
TABULATION OF PRINCIPLE CHARGES AT LMT TERMINAL
Dry Bulk Cargo Activity Main Berth Barge Berth i. Berth Occupancy RM2.00 RM1.00 ii. Stevedorage RM4.00 N/A iii. Wharf Handling RM3.00 RM3.00 Transit Charge RM4.00 RM4.00
*Rate per tonne or part thereof
Liquid Bulk Cargo Activity Main Berth Barge Berth i. Berth Occupancy RM2.00 RM1.00 ii. Wharf Handling RM5.00 RM7.50
*Rate per tonne or part thereof
56 COST OF DOING BUSINESS IN PERAK, MALAYSIA General Breakbulk Cargo Activity Main Berth Barge Berth i. Berth Occupancy RM2.00 RM1.00 ii. Stevedorage RM6.00 RM6.00 iii. Wharf Handling RM5.00 RM5.00 Transit Charge NIL NIL Shed Forklift RM2.00 RM2.00
*Rate per tonne or part thereof
Iron And Steel/Project Cargo Activity Main Berth Barge Berth i. Berth Occupancy RM2.00 RM1.00 ii. Stevedorage RM6.00 RM6.00 iii. Wharf Handling RM6.00 RM6.00 Transit Charge NIL NIL
*Rate per tonne or part thereof
* The Principal Charges may vary depending on the volume of cargo contracted.
a) Equipment Hire Charges i. Conveyors - RM1.50 per tonne or part thereof ii. Grabs and Drumming - RM1.00 per tonne or part thereof iii. Cargo Slings - To check with the Terminal b) Dry bulk cargo trimming charge - RM0.50 per tonne or part thereof c) Weighing Charges (in/out) - RM5.00 d) Stevedorage – Drum operations - RM6.00
Marine Charges
The above charges such as Pilotage, launch, tugs, berthing and unberthing would be as per services rendered to the vessel while in the port.
• Vessel Overstaying Charges - RM20.00 (US$ 5) per meter of LOA per hour • Port Stay charges - RM10.00 (US$ 2.50) per meter of LOA per hour
2nd Edition • March 2017 57 6 LIVING IN PERAK
RENTED ACCOMODATION, FURNISHED
Prime Urban Residential Suburbs of Ipoh Area in Ipoh (per month) (per month) RM RM Houses Bungalow 1,000 – 10,000 800 – 8,000 Double Semi-Detached 800 – 1,500 500 – 1,000
Apartments/Condominiums
1 – Bedroom 500 – 900 400 – 800 2 – Bedroom 800 – 1,200 600 – 1,000 3 – Bedroom 1,200 – 2,500 800 – 1,500
HOTEL RATES
Average published room rates in:
Single/Double Ipoh RM 5-Star Hotel 900
4-Star Hotel 200 3-Star Hotel 160
Source: Tower Regency Hotel, Ipoh • Kinta Riverfront Hotel, Ipoh • Hotel Seri Malaysia, Ipoh •Pangkor Laut Resort, Pangkor Island.
GOLF CLUB MEMBERSHIP
Individual Individual Non Individual Individual Non Corporate Term Description Transferable Transferable Transferable Transferable Membership Membership Golf Golf Social Social
Membership Fee RM35,000 RM18,000 RM20,000 RM15,000 RM40,000 RM6,000
Monthly RM90.10 RM90.10 RM53.00 RM53.00 RM90.10 No Subscription Fee
58 COST OF DOING BUSINESS IN PERAK, MALAYSIA Sports Fund RM2.00 RM2.00 RM2.00 RM2.00 RM2.00 RM2.00
Security Deposit RM500 RM500 RM500 RM500 RM500 RM1000
Transfer Fee 10% of the prevailing 10% - 10% - 10% - membership fee
Source: Royal Perak Golf Club - www.royalperak.com.my
INTERNATONAL SCHOOL FEES
There are more than 30 international schools registered with the Ministry of Education, Malaysia. These schools are located in the Federal Territories of Kuala Lumpur and Labuan, and the states of Johor (Johor Bahru), Kelantan (Kota Bharu), Melaka (Malacca), Negeri Sembilan (Mantin), Pahang (Kuantan), Penang (island), Perak (Ipoh), Sabah (Kota Kinabalu) and Sarawak (Kuching). The fees shown below are from a cross-section of the schools and are calculated for a whole year.
Ipoh International School – Fees Schedule
Application fees, per child Non- refundable : RM 300 Registration fees, per child Non- refundable : RM 2,800 Deposit fees, per child Refundable : A term’s fee to be topped up as the child progress
Fee per Term (RM) Fee After Rebate Level Age (3 terms a year) (RM) Pre-School Nursery 3 to 4 2,290 2,240 Reception 4 to 5 2,290 2,240 International Stream Year 1 5 to 6 3,250 3,200 Year 2 6 to 7 3,750 3,700 Year 3 7 to 8 4,520 4,470 Year 4 8 to 9 4,950 4,900
2nd Edition • March 2017 59 Year 5 9 to 10 5,550 5,500 Year 6 10 to 11 6,030 5,980 Year 11 to 12 6,910 6,810 Year 12 to 13 6,980 6,880 Year 13 to 14 7,360 7,260 Year 14 to 15 7,860 7,760 Year 15 to 16 11,980 11,780 Sixth Form (with effect from Jan 2017) 16 to 17 9,275 9,075
Malaysian Stream
Application fees, per child Non- refundable : RM 300 Registration fees, per child Non- refundable : RM 1,200 Deposit fees, per child Refundable : A term’s fee to be topped up as the child progress
Fee per Term (RM) Fee After Rebate Level Age (3 terms a year) (RM)
Malaysian Stream
KSSR 3 to 4 2,290 2,240 KSSR 4 to 5 2,290 2,240 KBSM 5 to 6 3,250 3,200 KBSM 6 to 7 3,750 3,700
A Level
Application fee : RM 300 Registration fee : RM2, 800 Deposit : RM 8, 925 Tuition fee (payable in 4 instalments) : RM 35,700 Due date for tuition fee instalments : 1st month, 5th month, 9th month and 13th month of
60 COST OF DOING BUSINESS IN PERAK, MALAYSIA A-Level studies
Early Years Centre
Application fees, per child Non- refundable : RM 300 Registration fees, per child Non- refundable : RM 500 Deposit fees, per child Refundable : A term’s fee to be topped up as the child progress
Fee per Term (RM) Fee After Rebate Level Age (3 terms a year) (RM)
KSSR 2 to 3 2,200 2,150 KSSR 3 to 4 2,200 2,150 KBSM 4 to 5 2,200 2,150 KBSM 5 to 6 2,900 2,850
Kindergarten Afternoon Enrichment Classes (For 4 to 7 years old)
Afternoon Enrichment Session Time Classes (For 4 to 7 years old)
Full Day 12:30hrs - 17:30hrs RM1,000
Half Day 12:30hrs - 15:30hrs RM600
Hostel Service (For students 12 years old and above)
Fee per Term Fees per Year (11 month) Deposit fees, per child (RM) (RM) Refundable (RM) 7,200 19,800 1,800 Fees inclusive of before and after school meals, transportation, tuition & co-curricular activities in the Hostel.
Note • All students only pay a one-time Application Fee & Registration Fee on Admission. • The deposit (i.e. Interest-free), equal to 1 term’s fee & to be topped up as child progresses. • Fees do not include ECA fees, books and uniform.
2nd Edition • March 2017 61 • School fees are invoiced 3 times a year and are payable before the commencement of the school term. • The School reserves the right to impose late payment charge of 5% per annum on all outstanding fees which have not been paid by the 15th day of the commencement of the school term. • To give in writing on the 1st day of term, at least one term's notice BEFORE the student leaves the School. Failure to do so will result in the forfeiture of the deposit. • Payments are to be made by cash or cheque payable to IPOH INTERNATIONAL SCHOOL SDN BHD. • Credit card payment will be accepted. • Payment by cash, cheque (excluding post-dated cheques) & telegraphic transfers within 15 days of the academic term will be eligible to the above rebate. Rebate is solely for payment of the current term fee only. • Partial payment/instalments are not eligible for the rebate. • Rebates are not valid in conjunction with other promotions.
*Source: www.tenby.edu.my
HEALTHCARE
Average Consultation Fees charged by General Practitioners
(a) First visit/Initial Consultation
Initial RM Consultation only Consultation with examination 35.00 - 125.00 Consultation with examination and treatment plan Consultation after stipulated hours Up to 50% above the usual rate House call or Home visit Up to 100% above the usual rate
(b) Clinic without pharmaceutical services
Initial RM Consultation only Consultation with examination 35.00 - 145.00 Consultation with examination and treatment plan Consultation after stipulated hours Up to 50% above the usual rate House call or home visit Up to 100% above the usual rate
62 COST OF DOING BUSINESS IN PERAK, MALAYSIA Average Consultation Fees charged by Physicians, Paediatricians and Psychiatrists (Specialist Fee)
Initial Follow-Up Item RM RM Consultation only Consultation with examination 80.00 - 235.00 40.00 - 105.00 Consultation with examination and treatment plan Consultation after stipulated hours Up to 50% above the usual rate House call or home visit Up to 100% above the usual rate
Source: Malaysian Medical Association - www.mma.org.my
Hospital Ward Charges
Per night Category of Ward RM Single Bedded 150 – 250
2-Bedded 80 – 130
4-Bedded 65 – 90
Sources: Pantai Hospital Ipoh - www.pantai.com.my • KPJ Ipoh Specialist Hospital - www.kpjipoh.com
DOMESTIC HELP
Per month RM Servant (foreign maid, full-time) 800 – 1100
Driver 1,800 – 2,000
Source: Malaysian Investment Development Authority (MIDA) - www.mida.gov.my
2nd Edition • March 2017 63 PUBLIC TRANSPORT
Taxi Fares RM
On Meter (by kilometre)
- For the first 1 km 3.00
- For every subsequent 115m 0.25
Radiophone Charges
- For every taxi call 2.00
- All luggage placed in the boot free
Source: Land Public Transport Commission (SPAD) –www.spad.gov.my
64 COST OF DOING BUSINESS IN PERAK, MALAYSIA Electric Train Service (ETS)
Schedule: Padang Besar - Butterworth - Ipoh - KL Sentral - Seremban - Gemas
2nd Edition • March 2017 65 Schedule: KL Sentral-Butterworth
Schedule: KL Sentral - Ipoh
66 COST OF DOING BUSINESS IN PERAK, MALAYSIA ETS Platinum Fare in RM
STESEN / STATION PBR ARU AKB ASR SPT BTW BMT PBT TPG IPH BTG KLO KLS BTS KJG NLI SBN PADANG BESAR PBR 11 12 14 19 33 40 38 58 58 59 60 60 62 ARAU ARU 14 19 11 16 29 37 35 55 55 56 58 57 60 ANAK BUKIT AKB 16 10 10 15 28 36 35 54 54 55 57 56 59 ALOR SETAR ASR 19 14 12 14 26 35 33 53 53 54 56 55 57 SUNGAI PETANI SPT 29 24 22 19 22 29 28 48 48 49 51 50 52 BUTTERWORTH BTW 10 12 17 25 44 44 BUKIT MERTAJAM BMT 11 11 16 24 43 43 PARIT BUNTAR PBT 16 14 14 22 40 41 TAIPING TPG 55 50 48 44 35 26 24 19 16 18 35 35 36 37 40 42 IPOH IPH 71 66 64 61 50 42 39 35 24 10 27 27 28 30 32 34 BATU GAJAH BTG 68 62 61 57 48 27 11 26 26 27 28 31 33 KUALA LUMPUR KLO 107 102 100 98 88 79 77 71 62 46 44 9 10 11 13 15 KL SENTRAL KLS 107 102 100 98 88 79 77 73 62 46 44 9 9 11 13 15 BANDAR TASIK SELATAN BTS 109 104 102 100 90 64 48 46 11 10 10 12 14
2 KAJANG KJG 112 107 105 103 93 66 52 48 14 13 12 11 13 nd Edition NILAI NLI 111 106 104 102 91 71 55 53 18 17 16 13 11 SEREMBAN SBN 116 111 109 105 95 75 59 57 22 21 20 17 13 • March2017
Child Fare Adult Fare 67 68 COST OFDOING BUSINESSIN PERAK, MALAYSIA
ETS Silver Fare in RM
STESEN / STATION PBR BTG KPR TPR SKI SLR BEH TGM KKB BTK RAW SGB KGS KLO KLS
IPOH IPH 9 10 11 12 13 13 13 14 15 15 16 16 17 17 BATU GAJAH BTG 10 9 10 11 12 12 13 14 14 15 15 16 16 16 KAMPAR KPR 12 10 9 10 11 12 12 13 13 14 15 15 15 15 TAPAH ROAD TPR 13 12 10 10 10 11 11 12 12 13 14 14 15 15 SUNGKAI SKI 15 14 12 11 10 10 10 11 12 12 13 13 14 14 SLIM RIVER SLR 17 16 14 12 11 9 9 11 11 11 12 12 13 13 BEHRANG BEH 18 16 15 13 11 9 9 11 10 11 12 12 12 12 TANJUNG MALIM TGM 18 17 15 14 12 10 9 10 10 11 11 11 12 12 KUALA KUBU BHARU KKB 20 19 17 16 14 12 10 9 9 10 10 11 11 11 BATANG KALI BTK 21 20 18 16 15 13 12 11 9 9 10 10 11 11 RAWANG RAW 22 22 21 20 18 16 15 14 10 10 9 9 10 10 SUNGAI BULUH SGB 24 22 21 20 18 16 15 14 12 12 11 9 9 9 KEPONG SENTRAL KGS 24 23 21 20 18 16 15 14 13 12 10 9 9 9 KUALA LUMPUR KLO 25 24 22 21 19 17 16 15 14 13 11 10 9 9 KL SENTRAL KLS 25 24 22 21 19 17 16 15 14 13 11 10 10 9
Child Fare Adult Fare ETS Gold Fare in RM
STATION IPH BTG KPR SLR TGM RAW KLO KLS
IPOH IPH 10 11 15 17 20 22 BATU GAJAH BTG 11 10 14 16 19 21 KAMPAR KPR 13 12 13 14 18 20 SLIM RIVER SLR 22 20 17 10 13 16 TG MALIM TGM 25 23 20 11 12 14 RAWANG RAW 31 30 27 18 15 11 KUALA LUMPUR KLO 9 KL SENTRAL KLS 35 34 31 23 20 13 9
Train Routes Diagram
*Source: KTM Berhad - www.ktmb.com.my
2nd Edition • March 2017 69 DOMESTIC AIRFARES
Selected Destinations from Ipoh Round Trip FIREFLY RM Singapore 500 – 1000 Johor Bahru 260 – 600 Round Trip TIGERAIR RM Singapore 500 - 1000 Round Trip MALINDO AIR RM Johor Bahru 400 - 600 Singapore 600 - 1200 Indonesia (Jakarta) 600 - 1200 Indonesia (Medan) 600 - 1200
Source: Fire Fly – www.firefly.com.my, www.tigerair.com, www.malindoair.com
EATING OUT IN PERAK, MALAYSIA
Prices quoted are for the city of Kuala Lumpur and would generally be lower for other locations in Malaysia. RM A lunch at a food court 8 - 10 A lunch at a restaurant in a 5-star hotel 60 - 100 Burger King (Whopper®) ala carte 10.95 KFC (Snack plate) 11.90 Pizza Hut (12-inch pizza) 34.80 - 40.30 Sushi King (Set meals) 18.90 - 21.90
70 COST OF DOING BUSINESS IN PERAK, MALAYSIA SHOPPING IN IPOH, PERAK
Ipoh is a favorite destination of shoppers. A wide range of competitively-priced products are available here.
Product RM
A pair of New Balance shoes 173 - 469
100 ml of Bvlgari EDT for men 190 - 240
50 ml of Calvin Klien EDT for women 160 - 230 Nikon D3100 2,198
Samsung Galaxy S 5 2,149 - 2,399
Apple iPad Mini - WiFi & Cellular 1,279 - 2,679
Prices of Selected Consumer Items
Prices in supermarkets
RM Can of Coke 2.27 A pack of cigarettes (premium 20s) 14.00 A bottle of wine (Mid -Range) 50.00 A bottle of mineral water (1.5 litre) 2.35 A loaf of Fresh White bread (500g) 3.13
NON-DUTIABLE GOODS
The following are some of the goods available free duty in Malaysia: fountain pens, books, perfume, cosmetics, portable radios, watches, cameras, video cameras, calculators, computers, fishing equipment, golf clubs, tennis and badminton racquets, medical equipment, manicure preparations, e.g. nail polishers & varnishes, varnish removers, leather goods, e.g. shoes, handbags, wallets, purses, suitcases, travelling bags, briefcases.
Source: Royal Malaysian Customs - www.customs.gov.my
2nd Edition • March 2017 71 72 COST OF DOING BUSINESS IN PERAK, MALAYSIA “Join the many local and international companies that have located in Perak, a hospitable and profitable investment destinations in the North of Peninsular Malaysia.”
73 Silver Opportunities Golden Profits
74 COST OF DOING BUSINESS IN PERAK, MALAYSIA US$ 1 : RM4.45
COST OF DOING BUSINESS IN PERAK, MALAYSIA
2nd Edition March 2017
PERAK INVESTMENT MANAGEMENT CENTRE Level 4, Perak Techno Trade Centre, Bandar Meru Raya, Off Jalan Jelapang, 30020 Ipoh, Perak, MALAYSIA.
Tel : +605-5292 447 / 448 Fax : +605-5292 440 Email : [email protected] Website : www.investperak.gov.my
PERAK INVESTMENT MANAGEMENT CENTRE