Electricity matters. It doesn’t just power the convenience of our modern living, it’s the lifeblood of our modern industry. That means creating a reliable, sustainable supply is crucial to a thriving economy. Making that electricity ecosystem easy to navigate is equally important for business.

The Malaysian electricity industry has undergone some significant reforms over the past few years. Those reforms aim to build a more reliable, sustainable electricity network for the nation. This environment helps support the growing needs and demands of business. That’s why the recent ranking of Malaysia as 8^th in the world for Ease of Getting Electricity in the World Bank’s Ease of Doing Business Index is such an important recognition of success.

With an overall ranking of 8^th in the world for Ease of Getting Electricity, Malaysia is positioned as a regional leader, and outperforms some of the world’s most developed economies:

The Business of Easy Electricity

The World Bank’s annual Ease of Doing Business Index is a globally recognised marker that can influence investment and impact economies. In assessing the local economic environment, electricity is an important measure of support for business. Regulatory hurdles and application processes can vary widely around the world – ensuring a reliable power system for a fast-paced business environment is crucial.

The 2017 World Bank Enterprise Survey shows just how important this is, with business owners around the world highlighting access to electricity services as the fourth biggest obstacle to their operations. Reliable supply really does matter. Take the recent blackouts in Southern Australia, which inflicted an estimated cost on businesses as high as AUS$367 million. Maintaining a reliable electricity supply not only means keeping the lights and machines turning, it also means avoiding business downtime and consequent costs.

Celebrating Malaysia’s Success

Malaysia’s success is a clear result of a focused, combined effort between power providers and the state industries. Efficient power distribution is indeed one of the customer service targets for TNB, the nation’s largest electricity provider. Through initiatives like TNB’s Value Unlocking Programme (VUP) under the Transformasi 1TNB pillar, Malaysia’s win in this space is proof that it’s scoring in customer experience and efficient distribution.

With efficient power providers and a transparent tariff system, Malaysia boasted the highest possible score for reliability of supply, showing an easy-to-navigate environment for business.

When it comes to business, the ability to move quickly is also vital. According to the World Bank research, it takes just 31 days for a business like those assessed to connect to the electrical grid in Malaysia. That’s less than half of the average 71 days across East Asia and Pacific countries, or the higher figure of 79 days represented across OECD high-income economies.

Electricity doesn’t just have an impact on an individual organisation, it has a substantial knock-on effect on the wider economy. What’s more, there is clear evidence that domestic and foreign investment tends towards countries with a reliable and affordable electricity supply. Malaysia’s foreign direct investment(FDI) is empowered by sustainable power, and the positive results are showcased through the statistics. Malaysia enjoyed FDI of RM47.2 billion in 2016, up from RM39.4 billion in 2015. That’s a 20% rise year on year, and something for Malaysia to celebrate.

When it comes to the ease of doing business, a nation requires a strong foundation from which to operate. In our modern world, that strong foundation is often built on a reliable, sustainable electricity ecosystem. It seems then there is something for the Rakyat to celebrate. The World Bank’s welcome recognition of Malaysia’s electricity sector not only offers a point of pride for the sector itself, it offers the springboard to economic success which can benefit the nation.