Electricity tariffs, gas prices to rise from Oct 1

SINGAPORE - The electricity tariff for the three months starting Thursday (Oct 1) will rise by an average of 1.83 cents per kWh compared with the previous quarter.

Gas tariffs for households are also set to increase by 0.83 cent per kWh for the same period.

SP Group said on Wednesday (Sept 30) that the increase in electricity tariffs in the coming quarter is due to higher energy costs, which form a major component of the electricity tariff and are paid to power generation companies.

Likewise, fuel cost hikes have also pushed the gas tariff up, said City Gas in a separate statement on Wednesday.

SP Group noted that in spite of the increase, the electricity tariff is still the second lowest rate in the past three years.

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Other components of the electricity tariff, such as network costs and market support services, remain unchanged.

The rise means that for households, the electricity tariff - before a goods and services tax (GST) of 7 per cent - will increase from 19.6 cents to 21.43 cents per kWh for the period from Oct 1 to Dec 31, or an increase of about 9 per cent.

The average monthly electricity bill for families living in four-room Housing Board flats will increase by $7.01 (before GST).

As for gas tariffs, households will see their bill rise from 16.36 cents to 17.19 cents per kWH (before GST) in the last three months of the year, or an increase of about 5 per cent.

Both the SP Group and City Gas review the electricity and gas tariffs quarterly based on guidelines set by the Energy Market Authority.

This article was first published in The Straits Times. Permission required for reproduction.