We should outsource our electricity needs to Malaysia!!!!!!

maurizio13 SG

Since cost competiveness is the keyword these days, with the lowering of corporate tax rates and all.

I think we should get our electricity supply from Malaysia, since their cost is only:

The average tariff in Peninsular Malaysia, Sabah and Sarawak is 23.5 sen/kWh, 24.0 sen/Kwh and 27.1 sen/Kwh respectively.

http://www.st.gov.my/statistics/SESB.html

For your information, the sen use in Malaysia is half of Singapore's cent.

As compared to Singapore Power's charge of 21.64 cent/Kwh.

Current exchange rate is SGD 1.00 = MYR 2.35.

When you convert Malaysia's most expensive rate of 27.1 sen over to Singapore dollars, it's only 11.53 cents/Kwh as compared to the current 21.64 cents/Kwh.

Maybe it's time the government consider outsourcing it's energy needs to the more efficient energy company Suruhanjaya Tenaga (Malaysia), instead of relying on our inefficient Singapore Power.

The rate of 27.1 sen/Kwh is just an average rate, the rates can go as low as 16 sen/Kwh for Sabah.

http://www.st.gov.my/statistics/SESB.html

If Singapore Power is so inefficient!!!

Shut it down!!!

Don't waste our resources!!!!

We can get cheaper power from Malaysia!!!

mhcampboy SG

Why is SPower inefficient?

They have lighted my house for like forever without any glitches...

maurizio13 SG

They are inefficient because they produced electricity which cost more than what other countries cost to produce.

If you are given a choice to purchase rice, both of same quality, would you buy the cheap one; or expensive one?

maurizio13 SG

It's a case of comparative advantage, if you need 10 men to produce a table whereas it only take others 5 men to produce, you are wasting resources and being inefficient.

mhcampboy SG

Well, i agree i guess. But u have to understand, producing electricity is not easy for singapore. i mean we still have to import fuels to generate electricity. while malaysia has or can produce thier own fuels.

but i guess, base on your analogy, i would buy the cheaper rice... Mr. Green

I-like-flings(m) SG

not only that lah.. outsource out water needs and even MP need can?? Laughing

maurizio13 SG

Right, since it cost us more to import the fuels and Malaysia produces cheaper electricity, isn't there more cause for us to import electricity from Malaysia?

We are also reducing the global wastage of resources. If we stop shipping oil into Singapore, we won't be wasting the fuel from the ship that transports the fuel to us. Not only are we being more efficient, we are also conserving the world's resources.

mhcampboy SG

So what do u think we shld do now? Mr. Green

maurizio13 SG

Nobody asked you to import rice from Canada if you can get it cheaper from your neighbouring country.

Does it make sense to you?

If I live in Tampines and I can borrow a cup of sugar from my neighbour, why would I want to travel to Jurong to borrow from my Auntie?

Logical?

maurizio13 SG

Purchase our energy needs from Malaysia, they are half the cost as compare to Singapore Power.

maurizio13 SG

Of course, unless my Auntie has a neighbour like Priscelia Chan, that is an entirely different story altogether.

Hahaha, I go goo goo gaa gaa over Priscelia Chan.

Pitot SG

well, outsourcing public works to another country.. right.. wad happens in a conflict?

I-like-flings(m) SG

when in a conflict take over that "another country" lor... with army from other country with outsource to lor.... Laughing

Pitot SG

brilliant plan. Laughing why not outsource our government too. Twisted Evil

I-like-flings(m) SG

cannot lah.. they are elite lah.. we can have FT in industries except government lah.. coz they are the BEST in the world... so where to find better one??? so we have to double their salary then they wont move to other country lor.. we need them to let sg continue to be the best FT magnet in the world lah!!!! Laughing

Pitot SG

well, i live in singapura.. where its kind of crazy but at least its interesting.. :lol

I-like-flings(m) SG

ya interesting jokes everyday... Laughing

maurizio13 SG

Well, we get our oil from middle east, if middle east doesn't to provide us with oil. What are we going to do? Simple, find another source.

Likewise, we can get some of our energy requirements from Indonesia too.

It also depends on what conflict are you talking about. If it's war, Singapore won't last long, at most 2 weeks to a month, all the aggressor country has to do is block off our sea lanes and we'll starve to death. We are not a self sufficient economy, we rely 100% on imports.

If both countries are in conflict with us, then we should just prepare to starve to death.

Anyway, my point wasn't really about outsourcing, it's more of how much it takes to produce a KiloWattHour of electricity in another neighbouring country and what Singapore Power charges the citizens of Singapore.

Unless Singapore Power can show that 1 KiloWattHour of their electricity is equivalent to 2 KiloWattHour of Suruhanjaya Tenaga (Malaysia). I don't see any reason why they can charge Singaporeans twice the amount.

Pitot SG

well, i was commenting on the outsourcing part. Laughing

oxford mushroom SG

Haha..another round of mindless ranting. First, Malaysia produces oil, we produce whiners like the threadstarter. Second, Malaysia gives out heavy subsidies to support its energy industry and keep its population happy at the price of national development. Malaysians are living in a fantasy world of low fuel and electricity prices far from reality. Low electricity prices in Malaysia are not the result of greater efficiency...it is the result of subsidies.

Read up the facts from the Malaysian government themselves:

3. How does the Government ensure fuel prices are cheaper here than in neighbouring countries?
By exempting sales tax on diesel and petrol and providing subsidies for all products.

4. What are subsidies?
It is money paid to producers or retailers of a given product by the Government in order to lower the retail price. It is a form of assistance for a given industry or segment of society.

5. What are the negative effects of subsidies?
Market distortion meaning the price of the commodity does not reflect its actual cost. This jeopardises the national economy as it would lead to excessive fuel consumption and wastage, in addiction to unhealthy practices such as illicit trade, cheating and smuggling. Heavy subsidies encourage the smuggling of fuel, particularly diesel, to neighbouring countries.

Huge subsidies are an opportunity cost because it prevents the Government from allocating more funds to national development. Savings from subsidies could be used to build more schools, hospitals and public facilities. Subsidies also jeopardise the Government's ability to reduce the budget deficit.

(http://www.neac.gov.my/index.php?ch=68&pg=179&ac=1884)