Since November 2018, residential households in Singapore have been able to select an electricity provider from which they can purchase electricity. The launch of the Open Electricity Market (OEM) provided residents of the country with the power to choose a provider whose plans aligns the most with what they are looking for from the 12 electricity providers available.
The Open Electricity Market is a component of the efforts of the Energy Market Authority (EMA) aimed at liberalization of the electricity market. It is why residents of the country can choose to purchase electricity from electricity providers other than the default electricity provider: SP Group. The following is a list of some of these providers:
Best Electricity Supply: Senoko Energy Supply; Diamond Electric; Geneco by Seraya Energy; iSwitch; Keppel Electric; Sunseap Energy; Tuas Power Supply; Union Power, PacificLight and many more.
The Different Types of Electricity Plans
Discount off regulated tariff: This plan offers a discount off the prevailing regulated tariff price, and it is usually revised every quarter.
Fixed price: This plan offers customers a fixed rate across the duration of their contracts. While there is no quarterly fluctuation as a result of the tariff, the price may be higher or lower than the discount off regulated tariff across time.
Peak and Off-Peak plans: This plan was offered to Jurong residents where a soft launch occurred in April, 2018, however, it was withdrawn when the OEM was rolled out across the country, due to the lack of interest shown by customers.
The following include some of the reasons why your default electricity provider might not be the best:
There are more choices for electricity plans with other electricity providers
The default electricity provider in Singapore, SP Group, provides only a fixed, quarterly tariff rate to their clients; other providers provide their clients with two electricity plans. With OEM, Singaporeans can choose to use another provider, as well as the electricity plan, they are interested in. It also provides households with the chance to save large costs when they choose a plan that is appropriate for their consumption habits.
There are better prices and increasing innovation
The plans offered by a number of the new electricity providers have better prices compared to that of the default electricity provider. This creates room for competition among providers with similar services so that consumers can enjoy better prices. It also increases the quality of the service, as some electricity providers compete to add value to their customers. Some of the ways in which they do this include referral cashback, free months of electricity, and other promotional rewards. For instance, PacificLight provides its customers with a free 12-month home insurance from Etiqa when they register for a 24-month home electricity plan.
The more companies want to differentiate themselves, the more offerings and rewards they offer their customers. This allows customers to make decisions that make the most financial sense to them, an option that is not available with default electricity providers.
There is more awareness of energy consumption
The introduction of OEM, the increase in electricity providers and plans make Singaporeans more aware of what the electricity market in the country is like. It also allows them to take stock of their electricity consumption patterns. One of the ways to take stock of consumption patterns is to be more conscious when using electricity, to identify the electricity demand some of our appliances, and also to identify the areas where we waste electricity. These will, hopefully, result in a more considerate use of electricity thereby saving both money and natural resources over time.
In the event that you are not getting maximum value from your electricity provider, you should consider switching to another. With the many power energy companies in Singapore, you will have plenty of options.