Singapore: Electricity tariffs will increase by 2.8% for next 3 months

Singapore Power Supply
High voltage power lines stand near an electricity substation on the outskirts of Sydney, about 40 kilometres (26 miles) west of the city's centre, in this September 30, 2004 file photo. SP AusNet, the Australian unit of Singapore Power Ltd., is raising up to A$1.6 billion ($1.17 billion) via a long-awaited initial public offering to be listed in Sydney. The maximum offer price will be A$1.57 per share and the indicative IPO price range for institutional investors is A$1.29 to A$1.57, according to the prospectus of the Web site of the Monetary Authority of Singapore November 7, 2005 . Several Asian power utilities are angling to list their Australian power assets acquired in recent years, aiming to lure investors with solid dividend yields in Asia's most developed electricity market. REUTERS/Tim Wimborne/Files Reuters

Singapore's SP Group announced on Thursday that electricity tariffs will increase by an average of 2.8 per cent or 0.59 cents per kWh from Apr 1 to Jun 30 this year, compared to the previous quarter.

The latest announcement comes mainly due to the higher energy cost of producing electricity.

The company told Channel NewsAsia that the electricity tariff for households will increase from 21.56 to 22.15 cents per kWh. While, the average monthly electricity bill for families living in 4-room HDB flats will increase by S$1.86.

Based on guidelines set by the Energy Market Authority (EMA), the electricity industry regulator, SP Group reviews the electricity tariffs quarterly.

Last year in June, the company said that the electricity tariffs will come down for the next three months due to a drop in the cost of natural gas. According to reports, the tariff decreased by an average of 3.2 percent or 0.67 cent per kWh for the Jul 1 to Sep 30 period.

During the period, the electricity tariff for households reduced from 21.39 to 20.72 cents per kWh during this period. As a result of this, the average monthly electricity bill for families living in four-room Housing Board flats also decreased by S$2.55.