1 Oct - 31 Dec 18
Details of the electricity tariffs are available at SP Group
Residential consumers in Singapore buy
electricity from SP Group, a market support services company regulated by
the EMA. The tariff set by SP Services is reviewed each quarter, and is regulated
by the EMA to reflect the actual cost of electricity.
This tariff comprises two key components –
fuel cost and non-fuel cost.
The fuel cost, or cost of imported
natural gas, is tied to oil prices by commercial contracts, which change
depending on global market conditions. The non-fuel cost is the cost of
generating and delivering electricity to homes.
out more about past electrical tariffs through this link from SP Group.
This component of the tariff is calculated using the average of daily natural gas prices in the first two-and-a-half month period in the preceding quarter. For example, the
average natural gas price between April and June is used to set the
tariff for July to September.
This helps smoothen out any large swings in
the oil markets. For households, this means electricity tariffs that are
reflective of prevailing market conditions.
About 95 per cent of Singapore's
electricity is generated from imported natural gas, the prices of natural gas are
indexed to oil prices. This is the market practice in Asia for natural gas
This part of the tariff reflects the cost
of generating and delivering electricity to our homes. It includes:
- Power Generation Cost
This covers mainly the costs of operating
the power stations, such as the manpower and maintenance costs, as well as the
capital costs of the stations.
- Grid Charge
is to recover the cost of transporting electricity through the power grid.
Support Services (MSS) Fee
This is to recover the costs of billing and
System Operation and Market Administration Fees
These fees are to recover the costs of
operating the power system and administering the wholesale electricity market.
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