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SLA Between TNB and Housing Developers

Buying a new house? Make sure it has SLA.

 

SLA stands for Service Level Agreement. It was drafted by TNB and REHDA, and launched by the Timbalan Menteri Tenaga, Air dan Komunikasi in 2005

SLA is something that all housing developers are encouraged to sign, because it is a guarantee that electricity supply would be provided on the agreed date so that

there would not be delays in handing over the house to you.

Under the Housing Development (Control & Licensing) Act 1966, the SLA is open to all housing developers applying for electricity supply.

The timeframe 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.

Under the Housing Development (Control & Licensing) Act 1966, the SLA is open to all developers applying for electricity supply.

Timeframe for connection of supply

Typical timeframe for connection of supply within 18 months

 
 
Note: T = Date SLA Signed

Roles and responsibilities

Developer should

1Submit complete application form with the relevant documents required by TNB.

2Sign SLA with TNB (if all documents are in order).

3Pay connection charges upon notification from TNB within agreed timeframe.

4Build substation and complete it within 4 months prior to connection of electricity supply.

TNB should

1Sign SLA with developer.

2Issue Notice of Connection Charges within 2 months after SLA agreement is signed.

3Commence works no later than 4 months prior to connection of electricity supply.

COST
RM10 Stamp duty

Penalty clause

Compensation to be paid by both parties if they fail to fulfill their respective obligations as stated in the SLA.