aligned with national and global energy goals. Improve Sustainability: Accelerating Malaysia’s ET by strengthening the grid and providing access to green electricity. Maintain Security of Supply: Ensuring a reliable supply of electricity to support the growth of new industries and demand. Balance Affordability: Implementing tariff redesigns to ensure a fair distribution of costs while protecting vulnerable segments of the population. Enhance Customer Empowerment: Enabling customers to participate in the green economy through expanded offerings and digital experiences. Spur Socio-economic Development: Driving significant Gross Domestic Product impact, job creation, and social impact projects through TNB’s investments. Enhance Transparency of Price: Increase transparency of price signals through efficient cost-recovery across supply-chain risks and floating generation tariff. TENAGA NASIONAL BERHAD Integrated Annual Report 2023 50 THE MARKET LANDSCAPE With the COVID-19 pandemicfirmly in the past and economic recovery driving the country forward, customers’ electricity demand in Peninsular Malaysia grew by 3.6% in 2023. The supply side saw coal contributing to 57.0% of the generation mix, followed by gas at 36.7%, hydro at 4.6%, solar at 1.5% and distillates at 0.2%. In 2023, the global energy landscape, particularly in the coal sector, experienced significant dynamics shaped by fluctuating demand, geopolitical tensions, and the gradual shift towards cleaner energy sources. Despite challenges, global coal demand remained robust, with consumption hitting new all-time highs, driven by various factors including the economic recovery post-pandemic and the energy needs of emerging economies. Coal prices, after soaring to unprecedented levels in 2022 due to a tight global supply and increased demand, particularly from Europe’s shift back to coal amid the Russia-Ukraine conflict and supply chain disruptions, began to stabilise in 2023. This stabilisation was influenced by factors such as mild weather conditions in Europe,