40% of homes have switched from SP Group to new electricity retailers

40% of homes have switched from SP Group to new electricity retailers

EMA roadshow on Open Electricity Market 1
The pilot test of the Open Electricity Market – an initiative by the Government to open up the power market to competition – was rolled out in Jurong in April 2018. (Photo: Tang See Kit)

SINGAPORE: About 40 per cent of residential consumers have switched from SP Group to a new electricity retailer as of end-August this year, the Energy Market Authority (EMA) said on Tuesday (Oct 15). 

The nationwide roll-out of the Open Electricity Market (OEM) started in November last year and was completed by May 2019. EMA said about 560,000 households have made the switch, out of the 1.4 million eligible households.

Those who switched enjoyed savings of 20 per cent to 30 per cent compared to the regulated tariff, said EMA in a press release. The tariff rate is 25.07 cents per kWh this quarter.

The three OEM retailers with the largest market share are Keppel Electric (27 per cent), Geneco (21 per cent) and iSwitch (13 per cent).

OEM market share chart October 2019
(Source: Energy Market Authority)

READ: Full opening of electricity market in Singapore to fire up competition: What will retailers do?

About 85 per cent of those surveyed said they were satisfied with the service provided by the new retailers, according to a survey conducted by EMA that included more than 10,000 households who had switched to a new retailer between November 2018 and February this year.

HIGHEST RATED RETAILERS

The survey also asked consumers to rate the 12 retailers, with EMA developing a rating system to reflect the overall satisfaction level for each OEM retailer.

Ohm Energy, Sunseap Energy and Tuas Power Supply received the highest rating of four stars out of a maximum five stars.

Geneco, Keppel Electric, PacificLight Energy, Sembcorp Power, and Senoko Energy Supply received three and a half stars.

Best Electricity Supply and iSwitch received three stars, and there was no rating for Diamond Energy Merchants and Union Power because of insufficient survey responses.

The ratings will be updated every six months, EMA added.

READ: How do electricity retailers charge lower prices than SP Group? 5 questions answered

Chief executive of EMA Ngiam Shih Chun said: “The Energy Market Authority hopes to help consumers make more informed decisions when choosing their electricity retailer. 

"We also hope this rating system will motivate retailers to continually improve their products and services for the benefit of consumers.”

Almost all consumers in the survey, about 98 per cent, said they found the process of switching to a retailer easy, while 94 per cent said the retailers presented their offers accurately.

Source: CNA/jt/hm(mi)

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