Electricity tariffs to decrease in first quarter next year
SINGAPORE — Electricity tariffs will decrease by an average of 8 per cent, or 1.99 cents per kWh for the period of 1 January to 31 March 2015, as compared to the previous quarter.
The electricity tariff for households will decrease from 25.28 to 23.29 cents per kWh, meaning the average monthly electricity bill for families living in four-room HDB flats will decrease by S$7.93.
SP Services explained that the tariff reduction is due to lower cost of fuel for electricity generation, which fell by 16.4 per cent in the previous quarter. They said that fuel cost makes up approximately 50 per cent of the tariff, which translates to a proportional reduction of 8 per cent in the first quarter (Q1) of 2015 electricity tariff.
SP Services reviews the electricity tariffs quarterly based on guidelines set by the Energy Market Authority (EMA), the electricity industry regulator. The tariffs for Q1 2015 have been approved by EMA.