Consumers can expect lower electricity and gas tariffs in the first three months of next year.
Electricity tariffs for the next quarter are set to decrease by an average of 1.2 per cent, or 0.28 cent, per kilowatt hour, from tomorrow to March 31, SP Group announced yesterday.
Energy utilities provider SP Group said the decrease is mainly due to the lower cost of natural gas for electricity generation from the quarter before.
For households, the electricity tariff will drop from 24.13 cents to 23.85 cents per kwh for the quarter.
This means the average monthly electricity bill for four-room Housing Board flats will decrease by $1 a month, excluding the goods and services tax (GST).
SP Group said electricity tariffs are reviewed quarterly, based on guidelines set by the Energy Market Authority (EMA), the electricity and gas industry regulator.
The electricity tariff consists of four components: energy costs, network costs, a market support services fee, and a market administration and power system operation fee.
The average monthly electricity bill for four-room Housing Board flats will decrease by $1 a month, excluding the goods and services tax.
This is the first time electricity tariffs are falling after rising for five consecutive quarters since October last year.
Gas tariffs for households will decrease by 0.81 per cent for the next quarter, said City Gas, a trustee of City Gas Trust.
This means a decrease of 0.16 cent per kwh, from 19.67 cents to 19.51 cents per kwh.
The revised tariff will add up to 20.88 cents per kwh after GST.
City Gas said the decrease in gas tariffs is due to a decrease in fuel costs as compared with the previous quarter.
It reviews gas tariffs based on guidelines set by the EMA.
This is the first fall since February. Gas tariffs previously increased by 2.29 per cent from Nov 1 to Dec 31, and 3.78 per cent from Aug 1 to Oct 31.