Singapore --- (METERING.COM) --- March 26, 2013 - Singapore’s Energy Market Authority (EMA) is taking further steps to liberalize the retail electricity market to enable more consumers to become contestable.
Currently about 75 percent of total electricity demand in Singapore has been opened up for competition. Large non-residential consumers with an average monthly consumption of 10,000 kWh or more at a single location can choose to become contestable.
As another step towards full retail contestability, EMA will lower the contestability threshold from the current 10,000 kWh to 8,000 kWh on April 1, 2014, and then to 4,000 kWh on October 1, 2014. This will allow more non-residential consumers to be eligible for retail contestability. In addition, non-residential consumers with multiple electricity accounts at different locations in Singapore can choose to become contestable in respect of any of the locations if the aggregated demand meets the prevailing contestability threshold.
Together, the above measures will allow about 70,000 accounts (or 20,000 consumers) to be eligible for retail contestability – an increase from the current 13,000 accounts (9,000 consumers).
EMA is aiming to implement full retail contestability within the next few years after these new steps are completed in October 2014. This will allow the remaining 1.2 million small, mainly residential, consumers to have the option to choose whether they want to remain on regulated tariff or switch to contestable status and buy electricity from retailers.
As part of the efforts to implement full retail contestability, EMA is studying the experiences of other jurisdictions, such as the U.K., Australia and New Zealand. These include measures to lower the costs of implementation and safeguard the interests of small consumers.