Remember when the Open Electricity Market (OEM) came into effect on 1 May 2019, and the streets were filled with salespeople trying to convince you to switch?
If you’re like most Singaporeans, you probably took the bait (I know I did). After all, there was no way you could lose. By shifting away from SP Group to almost any other electricity provider, you could save on your bill each month.
But what if you’re one of the few who resisted the barrage of advertisements and salespeople and still use SP Group for your electricity? This article is for you.
Contents
- Should I switch to a new electricity retailer?
- Why is SP Group more expensive?
- Is my security deposit refundable?
- Must I submit an electricity meter reading?
- Do I need to pay for an AMI meter?
1. Should I switch from SP Group to a new electricity retailer?
The answer is pretty simple, really. Just let the numbers do the talking. The current electricity tariff that SP Group offers is 32.47 cents/kWh (with GST). This number changes every quarter.
So the question is, how do the other electricity providers stack up?
| Provider | 24-month Contract (Cheapest Plan) |
| Geneco | 29.53¢/kWh (with GST) |
| PacificLight | 29.53¢/kWh (with GST) |
| Keppel Electric | 30.58¢/kWh (with GST) |
| Senoko Energy | 30.59¢/kWh (with GST) |
| Tuas Provider | 30.83¢/kWh (with GST) |
| Sembcorp Power | 31.32¢/kWh (with GST)*
*12-month plan |
| SP Group | 32.47¢/kWh (with GST)*
*quarterly rate for 1 Apr – 30 Jun 24 |
Looking at other electricity providers in Singapore, we can see that they all beat the current rate offered by SP Group. Another benefit is that these rates are locked in for a specific timeframe (usually 1-2 years), which makes budgeting easier.
If you want to pay less for electricity, then yes, you should consider switching to a new provider.
For more information on how the Open Electricity Market works and other tips, you can check out our guides here:
- Beginner’s guide to the Open Electricity Market in Singapore
- Compare 9 Best Electricity Price Plans in Singapore
- All Green and Solar Electricity in Singapore
- A list of hidden costs to look out for when choosing electricity retailers
2. Why is Singapore Power more expensive?
I’ve always wondered about this myself—since Singapore Power (SP) is the “official” electricity provider for our nation, shouldn’t their prices be more competitive?
According to SP, they are the “national grid operator” and not an electricity retailer per se. They are a “market support service licensee” whose job is to “ensure a reliable supply, transmitting and distributing electricity to all customers regardless of their choice of retailers”. It is not to give you low prices—that’s the role of the OEM.
SP Group simply follows the regulated tariff. The SP Group electricity tariff (32.47¢/kWh for 1 Apr – 30 Jun 24) looks at the “long-term cost of producing electricity and factors in the cost of maintaining and operating the grid”.
On the flip side, electricity retailers can pretty much charge whatever they want. They can team up with other companies, like insurers, to put together some cool deals and promos to win you over.
Honestly, all you really need to be concerned about is the price and reliability of your power supply. And since there’s no change in the latter, it makes sense to switch to a cheaper retailer.
3. When will my security deposit be refunded after I switch to a new electricity retailer?
Whether you remember it or not, once upon a time, you paid SP Group a security deposit (S$40 to S$400, depending on your type of residence) when setting up your utility account. So what happens to that money when you switch to another provider?
It’s pretty straightforward. Your security deposit will be used to offset any outstanding charges with SP Group. Whatever is remaining will be used to offset your future non-electricity charges (remember, you are still paying SP Group for water and gas).
If you’re not comfortable with this, you can always request that SP Group refund the remaining security deposit.
4. Why do I have to submit an electricity meter reading? Is it compulsory?
When you change to a new electricity retailer, you will be asked to submit your meter reading. No, it’s not compulsory, but you should do it anyway. That way, your bill will accurately reflect your consumption. You can submit it through the SP utilities app or the SP utilities portal. Simply log in to the portal, select “usage,” and then “submit meter readings.”
If you choose to skip this step, your first bill with your new electricity retailer will be an estimate based on your past electricity consumption.
5. What is an AMI meter? Do I need to pay for it?
An AMI meter is an advanced metering infrastructure meter. It measures your consumption at half-hourly intervals so you can stalk your usage every 30 minutes online (via e-services).
Beyond catering to the needs of fanatical consumers, an AMI meter means you will get accurate bills every month (instead of estimates when a reading is not taken).
Most homes still use the cumulative meter, which records readings only once every 2 hours, and requires someone to go down to check the reading once every 2 months. According to SP, all electricity meters will be changed to AMI meters progressively (for free). So there’s really no reason to change it yourself.
But if you want to, you can contact SP Group at [email protected] or 1800-233-8000 to request a change. It’ll cost you S$40 (excluding GST).
Do you know anyone who’s still paying a premium for electricity? Share this article with them!