What is the Open Electricity Market?
Formerly known as Full Retail Contestability, OEM is an initiative by the Energy Market Authority (EMA) to enable homeowners and business consumers to purchase electricity from a retailer with a price plan that best meets their needs. Since 2001, EMA has progressively deregulated the retail electricity market to bring about competitive pricing, enhanced services, and innovative offers from retailers. This flexibility of choice, however, is only available for business consumers with an average monthly consumption of at least 2,000 kWh, up until 1 April 2018, following the soft launch of OEM in Jurong.
OEM will be progressively extended to the rest of Singapore in November 2018, allowing the remaining 1.3 million households to have the freedom to purchase their electricity either from SP Group at regulated prices, or from a retailer at a more competitive rate.
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.
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Frequently Asked Questions about OEM
Q: What is the role of ELECTRIFY.SG when the OEM launches?
A: We are a marketplace for consumers to compare and search for a suitable electricity plan according to your needs and preferences. Our mission 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. Typical savings that most businesses on our platform experience is between 25% and 30% from the SP tariff. Residential consumers, on the other hand, can expect to save up to 20% off their current electricity bills.
Q: Will my electricity supply be stable after I switch out from SP?
A: Yes! Your electricity comes from the main grid. There will not be a change in the stability of power delivered to your home.
Q: If that is so, how can prices be lower?
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 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 privatised 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: Contract terms vary from retailer to retailer. For business consumers, most contracts are either 1 or 2 years, whereas residential consumers can expect shorter-term contracts, with some as short as 6 months.
Q: Will there be options for clean energy?
A: Yes. Do check out our site for more information.
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 the rollout will occur in phases, starting from November 2018. Refer to the rollout schedule here to check the launch date for each geographical zone.