Some relief is coming for household utility bills in Singapore from October.
The household electricity tariff will fall by 10.4% for the October to December 2026 quarter, dropping from 31.91 cents per kilowatt-hour (kWh) to 28.59 cents per kWh before GST.
Piped town gas will get cheaper too, with the household tariff falling by 8.6%.
Four-Room HDB Household Could Save About S$13 a Month
SP Group said the lower electricity tariff is due to lower energy costs.
For families living in four-room HDB flats, the average monthly electricity bill is expected to decrease by S$12.99 before GST.
The new household electricity tariff of 28.59 cents per kWh will apply from 1 October to 31 December.
Across all customers, including non-households, the overall electricity tariff before GST will fall by an average of 10.6%, or 3.32 cents per kWh, compared with the previous quarter.
This follows a rather painful third quarter for electricity bills. From July to September, the household tariff jumped 17% to 31.91 cents per kWh because of higher energy costs. SP Group had said those costs reflected high natural gas prices amid the Middle East conflict.
Why Electricity Prices Are Falling Now
Singapore’s regulated electricity tariff is reviewed every quarter.
A major component is the cost of energy, which changes according to fuel and power-generation costs. The fuel component is affected by the price of imported natural gas, which is linked to oil prices through commercial contracts.
There is also a delay between movements in global fuel prices and what households eventually see on their electricity bills.
The energy cost for each quarter is based on average natural gas prices during the first two-and-a-half months of the preceding quarter. In other words, cheaper fuel today does not immediately mean cheaper electricity tomorrow.
The October to December reduction therefore reflects lower energy costs from the preceding period.
There could, however, be another change next quarter. SP Group said global fuel prices have risen since September amid escalating tensions in the Middle East, and electricity tariffs could increase in the subsequent quarter if those higher prices persist.
Household Gas Tariff Falling 8.6% Too
Households using piped town gas will also see lower rates.
City Energy said its household gas tariff will decrease by 8.6%, from 23.48 cents per kWh to 21.45 cents per kWh before GST for the October to December quarter.
The reduction amounts to 2.03 cents per kWh and is also due to lower fuel costs compared with the previous quarter.
Both SP Group’s electricity tariffs and City Energy’s gas tariffs are reviewed quarterly based on guidelines set by the Energy Market Authority.
