What is the Open Electricity Market (formerly known as FRC)?
Open Electricity Market: The Energy Market Authority (EMA) has been deregulating the electricity market in phases since 2001, starting with business in Singapore. Currently only businesses consuming more than 2,000 kWh/month are eligible to buy energy from electricity retailers to enjoy savings on their electricity bills.
In 2018, the remaining 1.3 million households in Singapore will have the option to buy power from an electricity retailer or to remain on the SP regulated tariff. Households are expected to save between 10% to 30% of their electricity bills by purchasing electricity from private retailers.
Perks of Switching with ELECTRIFY.SG
ELECTRIFY.SG presents you the simplicity to compare electricity plans that best suits your needs. Enjoy guaranteed savings every month and perks offered by electricity retailers, simply by switching with ELECTRIFY.SG.
Leave us your contact details and we will keep you updated with customised offers from some of the best retailers in Singapore.
Frequently Asked Questions about OEM
Q: What is the role of ELECTRIFY.SG when the market opens up to Singaporean households?
A: We are a marketplace for consumers to compare and search for a suitable electricity plan according to your needs and preferences. Our mission at ELECTRIFY is to serve consumers with full transparency and connect the most credible energy suppliers to our consumers. This means that the power plans you find on our platform will come with the full explanation of contract terms, termination clauses with no hidden charges. If there is anything you should be aware of before you enter a contract, it is our duty to point it out to you to protect your interest.
Q: What is the benefit of switching out from SP Services to a private retailer?
A: The most apparent benefit is cost savings. In the commercial space that ELECTRIFY operates in today, the typical savings that most of the businesses on our platform experience is between 25% and 30% from the SP tariff. We expect the savings rate for households to hover around 20%. We’ll keep you updated as soon as the retailers release their prices for households.
Q: Will my electricity supply be stable after I switch out from SP?
A: Yes! Your electricity still comes from the main grid, there will not be a change in the stability of power delivered to your home. We quote the Energy Market Authority (EMA): “(consumers will) continue to enjoy the same reliable electricity supply regardless of their choice of electricity retailer, as SP Group will continue to operate the national power grid”
Q: If that is so, how can prices be lower? Is this a scam?
A: Retailers buy power from the wholesale electricity market and sell them to consumers. SP Services has a slightly different cost structure in that they have agreements with some of the power producers. This results in a price difference between the two.
Q: My SP bill currently consists of electricity, water, gas and refuse. What will happen after I switch to a retailer?
A: Your retailer will likely* send you a separate bill for electricity. Your bill for water, and refuse will still come from SP.
*Some retailers may work with SP to include their charge on your same SP bill.
Q: Is SP part of the government? Isn’t the supply from the government the best and most reliable?
A: SP Group, like SMRT and Singtel, is currently privaltised and is a for-profit. The reliability of power supply is the same whether you stay with SP or with a retailer.
Q: How long is an electricity contract with a retailer?
A: In the B2B environment, most contracts are either 1-yr or 2-yr. At this moment, the retailers have not released details about their electricity plans. We expect contract terms to be shorter for residential power supply. Do check out our website in Feb-Mar 2018 onwards for more information.
Q: Will there be options for clean energy?
A: Yes. Again, more information will be revealed as we get closer to the opening of the market in April 2018.
Q: Which parts of Singapore will be eligible for the soft-launch of OEM?
A: Households and businesses in the Jurong vicinity will be able to switch to a retailer in April 2018 (postal codes starting with 60, 61, 62, 63, 64).
Q: I do not live in Jurong, when can I switch?
A: The EMA has announced that nation-wide will occur in the second-half of 2018. We will keep you updated when the exact date is announced!