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Singapore households to pay less for electricity and gas as tariffs fall from October to December

As Singapore heads into the year-end season, households in the Republic will get some relief as electricity and gas tariffs for the fourth quarter of 2026 fall due to lower energy costs. The household electricity tariff from October to December, before the goods and services tax (GST), will decrease by 10.4 per cent, SP Group announced in a media release...

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Singapore households to pay less for electricity and gas as tariffs fall from October to December
Singapore households to pay less for electricity and gas as tariffs fall from October to December

As Singapore heads into the year-end season, households in the Republic will get some relief as electricity and gas tariffs for the fourth quarter of 2026 fall due to lower energy costs.

The household electricity tariff from October to December, before the goods and services tax (GST), will decrease by 10.4 per cent, SP Group announced in a media release on Wednesday (Sept 30).

This is 3.32 cents per kilowatt-hour (kWh) lower than the third quarter of 2026, from July to September.

Following the drop, the average monthly electricity bill for families living in HDB four-room flats is expected to decrease by $12.29 (before GST).

The overall electricity tariff (before GST), including tariffs for non-households, will decrease by an average of 10.6 per cent or 3.32 cents per kWh compared with the previous quarter.

On June 30, in the last tariff revision, SP Group had said that should the Middle East situation improve, global fuel prices and correspondingly the electricity tariffs for the fourth quarter of 2026, may decrease.

As compared to the period between April and June, when global oil prices reached as high as US$114.44 (S$146.25) on May 4, Brent crude futures had mostly stayed below the US$90 per barrel mark between June and September.

Meanwhile, the town gas tariff (before GST) for households will decrease by 2.03 cents per kWh from October to December, City Energy said in a separate statement on Wednesday.

This is 8.6 per cent lower than the previous quarter.

Tariffs could rise again next quarter

Both SP Group and City Energy have warned that electricity and gas tariffs could again rise for the next quarter due to volatility in fuel prices.

"Changes in fuel prices take some time to be reflected in the electricity tariffs. Global fuel prices have risen since September 2026 due to escalating tensions in the Middle East," said SP Group.

"Should this persists, tariffs are expected to increase for the subsequent quarter."

The two companies review their respective electricity and gas tariff on a quarterly basis, based on the Energy Market Authority's (EMA) guidelines.

The quarterly determination of regulated electricity and town gas tariffs are based on gas prices in the first 2.5 months of the previous quarter.

U-Save for households

Eligible HDB households would have received between $110 to $190 in Budget 2026 U-Save rebates . This is intended to cushion the impact of higher utility bills due to an increase in carbon tax from 2026.

In addition, eligible HDB households will also receive between $220 to $380 of GSTV—U-Save rebates across four tranches — April , July , October 2026, and January next year.

On July 29, Second Minister for Finance Jeffrey Siow announced an additional $900 million in support measures to cushion the impact of rising cost pressures amid the ongoing Middle East conflict.

This includes additional U-Save rebates — on top of the rebates announced during Budget 2026 — of between $110 and $190 in October this year and January 2027.

In total, eligible HDB households will receive between $440 to $760 in U-Save rebates.

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