SP Group's electricity tariff for households to rise by almost 10% for April to June period
SINGAPORE: The electricity tariff for households will increase by an average of 9.8 per cent for the April to June period this year, compared with the previous quarter, SP Group said on Thursday (Mar 31).
"The increase is mainly due to higher energy cost arising from significantly higher global gas and oil prices exacerbated by the conflict in Ukraine," said SP Group.
Excluding Goods and Services Tax (GST), the tariff for households will go up to 27.94 cents per kWh for the quarter ending Jun 30. This is an increase from 25.44 cents in the quarter ending Mar 31.
Including GST, the rate will be 29.90 cents per kWh for the quarter ending Jun 30.
This is the fifth consecutive quarter of increase.
The increase means the average monthly electricity bill for families living in HDB four-room flats will go up by S$8.73 before GST.
Those living in HDB executive flats will see their bills increase by an average of S$12.46.
SP Group reviews the electricity tariffs every quarter based on guidelines set by the EMA.
The electricity tariff consists of four components – energy costs paid to the generation companies, network costs and market support services fees paid to SP Group, as well as market administration and power system operation fees paid to the energy market company and power system operator.
The energy costs component is adjusted quarterly to reflect changes in the cost of fuel and power generation. The fuel cost is the cost of imported natural gas, which is tied to oil prices by commercial contracts.
The cost of power generation mainly covers the costs of operating the power stations, such as the manpower and maintenance costs, as well as the capital cost of the stations.
An earlier version of this story said the electricity tariff for households will increase by an average of 9.9 per cent. It should be 9.8 per cent. We apologise for the error.