KUALA LUMPUR: Singapore's household electricity and gas tariffs will drop for the January to March 2025 period due to lower energy costs, marking the second straight quarterly decline.
According to Channel News Asia (CNA), national grid operator SP Group, reported that compared with the previous quarter, the electricity tariff will decrease by 3.4 per cent or 0.98 cent per kilowatt hours (kWh) before Goods and Services Tax (GST) for the first quarter of 2025.
It will drop from 29.1 cents to 28.12 cents per kWh.
CNA said this equates to a reduction of S$3.58, excluding GST, in the average monthly electricity bill for households in Housing and Development Board (HDB) four-room flats.
The group reviews the tariff every quarter based on guidelines that were set by the industry regulator, the Energy Market Authority.
"The electricity tariff consists of four components, including energy costs paid to power generation companies, and network costs paid to SG Group to recover the cost of transporting electricity through the power grid."
"There is also a market support services fee paid to SP Group that recovers the costs of billing and meter reading, as well as a fee paid to the energy market company that recovers the costs of operating the electricity wholesale market and power system," the report said.
City Energy, a gas service provider in Singapore, said the gas tariff, excluding GST, will also drop by 0.25 cents per kWh—from 22.97 cents per kWh to 22.72 cents per kWh—for the next quarter, citing lower fuel costs.
The company conducts quarterly reviews of gas tariffs in line with guidelines established by the Energy Market Authority (EMA).