The 22 per cent increase in the high-tension electricity tariff rate, which took effect on April 1, is hitting my company hard.

The increase translates to my company paying an additional $3,400 per month, excluding goods and services tax.

Second Minister for Trade and Industry Tan See Leng said in Parliament recently (Electricity prices likely to rise as overcapacity normalises, March 5): "Even when prices do go up, we will do our best to ensure that this gradient is gradual, and the Government will act where necessary to minimise excessive surges."

This latest rate increase does not seem gradual and is adding to the business downturn woes faced by local small and medium-sized enterprises during this pandemic period.

Derek Chan