The current electricity tariff, as of writing (April 2019) is 24.39 cents per kWh, inclusive of GST. However, with the introduction of the Open Electricity Market (OEM), it is now possible to get a cheaper rate than this tariff.
Having the OEM in place means that there are now 13 retailers providing the nation with electricity; increasing competition in the marketplace and trying to increase market share by providing a range of innovative offers and plans to consumers.
Let us look at how tariffs – which are regulated by the Energy Market Authority (EMA) – are derived, and look at alternative options available in the OEM.
Regulated Residential Tariffs
By default, Singapore households buy electricity from SP Group, an EMA-regulated market support services company. SP Services’ tariffs are reviewed on a quarterly basis and are regulated by the EMA to reflect the actual electricity costs. This tariff includes two key …