Home > Business > For Housing Developers & Electrical Contractors > SLA Between TNB and Housing Developers

SLA Between TNB and Housing DevelopersPrint this page 

All housing developers are encouraged to sign the SLA. The objective of the SLA is to ensure electricity supply is connected to housing projects within the stipulated time to avoid delays in handing over houses to the purchaser.

The SLA is open to all housing developers applying for electricity supply for housing developments as prescribed under the Housing Development (Control & Licensing) Act 1966. Commercial and industrial development projects are not covered by the SLA.

Timeframe allocated to complete the works is not more than 18 months from the date of signing the Agreement, or shorter if mutually agreed by both parties. 

Typical timeframe for connection of supply within 18 months:

sla timeline

Roles and Responsibilities

What the Developer should do

  1. Submit application form with the relevant documents required by TNB
  2. Sign SLA with TNB (provided all documents are in order)
  3. Pay connection charges upon notification from TNB within agreed timeframe
  4. Substation to be build and completed 4 months prior to electricity supply ready for connection

What TNB should do

  1. Sign SLA with developer
  2. Issue Notice of Connection Charges within 2 months after SLA Agreement is signed
  3. Commence works no later than 4 months prior to electricity supply ready for connection

Cost

The cost incurred is only the stamp duty. The Agreement should be stamped after execution by both parties and each party should bear its own stamp duty, currently at RM10 per copy.

Penalty Clause

Compensation will be paid by both parties if they fail to fulfill their respective obligations under the SLA.