Electricity
tariffs will fall in first quarter of 2016: SP
Services
SINGAPORE: Electricity bills will fall in the first three months
of 2016, due to the lower cost of natural gas, SP Services
announced on Thursday (Dec 31). This will see electrical bills
lower than at any point in 2015.
For the period spanning Jan 1 to Mar 31, 2016, electricity
tariffs will decrease by an average of 4.2 per cent, or 0.85 cent
per kilowatt-hour (kWh), compared to the previous quarter. The
tariff reduction is due to the lower cost of natural gas for
electricity generation which fell by 8.9 per cent compared to the
last quarter of 2015, SP Services said.
This will see electrical bills in Singapore lower than at any
point in 2015.
This means that for households, the electricity tariff will
decrease from 20.35 to 19.50 cents per kWh for the first three
months of 2016. As a result, the average monthly electricity bill
for families living in four-room HDB flats will decrease by S$3.55,
the utilities company said.
Electricity tariffs are reviewed by SP Services quarterly, based
on guidelines set by the Energy Market Authority, the electricity
industry regulator. The electricity tariff consists of four
components: Energy cost, paid to the generation companies, which is
reviewed quarterly; and three fees reviewed annually - the Network
Cost, Market Support Services Fee, and Market Administration and
Power System Operation Fee.
- CNA/es
