SP Mobility makes commitments to ease anti-competitive concerns over its proposed ChargEco takeover
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Singapore's consumer watchdog is evaluating SP Mobility's proposed acquisition of rival ChargEco.
PHOTO: ST FILE
- SP Mobility offered commitments, including no price hikes for three years at east region HDB carpark EV chargers, to ease competition concerns over acquiring ChargEco.
- The Competition and Consumer Commission of Singapore (CCS) seeks public feedback on SP Mobility's proposal, following concerns about reduced competition in the east region.
- SP Mobility will notify CCS and EV-Electric of price adjustments, and CCS can appoint a trustee to monitor compliance with the commitments.
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SINGAPORE - Electric vehicle (EV) charging service provider SP Mobility has submitted a set of commitments to allay concerns that its proposed acquisition of rival ChargEco would be anti-competitive.
The commitments include not raising prices at Housing Board carparks in the east region, where both providers were awarded contracts under a large-scale roll-out of public EV charging points by the Land Transport Authority (LTA) in November 2022.
Specifically, the commitment is to not raise prices for three years at charging points in the east region above what it costs before the proposed acquisition, unless it is to pass on costs from regulators or factors that are beyond its control.
EV drivers who charge up at these carparks will also not be put at any disadvantage in terms of access to discounts or rebate schemes.
Besides the east region, ChargEco also has charging points in the central region, alongside rival operator Charge+.
In addition, SP Mobility pledged to notify the Competition and Consumer Commission of Singapore (CCS) of any adjustments to prices at charging points in the east. This will be in addition to its existing obligation to inform EV-Electric, the LTA subsidiary responsible for the roll-out of EV chargers.
The consumer watchdog will have the right to request that SP Mobility appoint a monitoring trustee, or an independent third party, to ensure compliance if it suspects that the operator is not keeping to its commitments.
It is seeking public feedback on the proposed commitments, it said on March 30.
In January, it had held a public consultation following a joint application by SP Mobility and ChargEco to determine if the former’s acquisition of the latter would be anti-competitive.
While the acquisition includes ChargEco’s charging points across the island, those in HDB carparks in Singapore’s east region were identified as a concern during the public consultation.
LTA said in 2022 that it awarded contracts for each region to two providers to strengthen the resilience of the EV charging network.
SP Mobility is part of utilities provider and national grid provider SP Group, while ChargEco is a venture between Strides Mobility, an SMRT subsidiary, and integrated energy company YTL PowerSeraya.
Based on EV-Electric’s website, ChargEco has 1,100 chargers, and SP Mobility has 1,575 chargers. There are 8,223 public charging points across Singapore. Other operators in the charging network include Charge+, CDG Engie and Shell.
A spokesperson for SP Mobility told The Straits Times that the operator will provide updates on the proposed acquisition in due course, adding: “Any announcement will be made in accordance with regulatory requirements and at the appropriate time.”
ST has contacted ChargEco for comment.
Those who would like to give feedback on SP Mobility’s proposed commitments to the CCS can do so via e-mail (CCS_consultation@ccs.gov.sg) or the CCS website.
The deadline is 5pm on April 13.
