Families in 4-room HDB flats to see a 3.4% decrease in their average electricity bills.

Electricity and gas tariffs in Singapore are set to decrease in the first quarter of 2025, reflecting a reduction in energy costs. The new tariffs, announced by state energy providers on December 30, will take effect from January 1 to March 31.

The electricity tariff before the 9% Goods and Services Tax (GST) will drop by 3.4%, or 0.98 Singapore cents per kilowatt-hour (kWh), falling from 29.10 cents to 28.12 cents per kWh. For households living in four-room HDB flats, the average monthly electricity bill will decrease by S$3.58, marking a 3.4% reduction before GST.

SP Group, the local electricity provider, attributed this decrease to lower energy costs in Q1 compared to the previous quarter. The energy cost, which makes up 76% of the electricity tariff, will see a reduction of 0.98 cents per kWh. The other components of the tariff, including network costs, market support services fees, and the market administration and power system operation fees, will remain unchanged.

In addition to the reduction in electricity tariffs, City Energy, the piped gas supplier, announced a drop of 0.25 cents in its gas tariff before GST, bringing it down to 22.72 cents per kWh. With the inclusion of the 9% GST, the new gas tariff will be 24.76 cents per kWh. This reduction in the gas tariff is also attributed to lower fuel costs compared to the fourth quarter of 2024.

Both SP Group and City Energy review their tariffs on a quarterly basis, in accordance with the guidelines set by the Energy Market Authority.