Liberalisation of Retail Electricity Market

Since 2001, EMA has progressively opened the retail electricity market to competition to allow business consumers more options to manage their energy cost. Instead of buying from SP Group at the regulated tariff, eligible consumers can choose to buy from a retailer at a price plan that best meet their needs, or buy from the wholesale electricity market at the half-hourly wholesale electricity prices. Those who exercise this choice are termed as contestable consumers.

Currently, business consumers with an average monthly electricity consumption of at least 2,000 kWh (equivalent to a monthly electricity bill of at least $400) are eligible to become contestable. Currently, around 90,000 business accounts, making up about 80% of the total electricity demand, are eligible to exercise this choice and flexibility in their electricity purchases.

EMA commenced the soft launch of Open Electricity Market (previously referred to as Full Retail Competition), where households and businesses in Jurong can choose to buy electricity from a retailer at a price plan that best meets their needs from 1 April 2018 onwards. This initiative provides consumers with choice and flexibility in their electricity purchases.

Consumers who wish to continue buying electricity from SP Group at the regulated tariff can choose to do so.

The soft launch of Open Electricity Market will allow EMA, SP Group and electricity retailers to gather feedback and fine-tune processes where necessary, to enhance the consumer experience of buying electricity in a competitive market. This choice and flexibility is expected to be extended to the rest of Singapore from the fourth quarter of 2018.

Soft Launch of Open Electricity Market in Jurong

Business Consumers with Minimum Average Monthly Consumption of 2,000 kWh

Business consumers with an average monthly consumption of at least 2,000 kWh (approximately $400 in electricity bill) can buy electricity from any licensed electricity retailer.