Abstract: The Power Quality (PQ) is one of the main issues in the Malaysian industries. The issue is not just a power quality but also loss of profit as well. Thus, the industrial PQ problem is an important area of research in term of classification, assessment and awareness development. This study developed a framework of survey design, data collection and an analytical model for the statistical classification of the PQ problem and its severity level in Malaysia based on the practical perception of industrial respondents. A statistical classification is done by affected equipments and the matching correlation value between PQ severity level and the normalization duration. The identified PQ Severity Factors (PQSF) are considered for different types of equipment for industrial PQ problem. The findings will assist in the formulation of appropriate policies that address the industrial PQ problem in Malaysia as well as indirectly improving the industrial PQ in the country.