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1. If my company is eligible for contestability, is it compulsory for my company to become contestable?

It is not compulsory for your company to switch to become a contestable consumer. No action is required from you if you choose to stay as a non-contestable consumer and continue to buy electricity from SP Services Limited (SPS) at the regulated tariff.

2. How do I apply to become contestable?

If you have been notified by the Energy Market Authority (EMA) or SPS that you are eligible to become contestable, you can contact your preferred retailer to make the switch or complete and submit your Contestability Application here.

You can find out whether you qualify via Open Electricity Market website (www.openelectricitymarket.sg) or contact SPS at 1800-233-8000 or contestable@spgroup.com.sg for assistance.

3. What are my choices as an eligible contestable consumer?

As an eligible contestable consumer, you can choose to:

  • Switch to become a contestable consumer and buy electricity
    • From an electricity retailer (Retailer consumer);
    • Directly from the wholesale electricity market (Direct Market Consumer); or
    • From the wholesale electricity market through SPS (MSSL Consumer).
  • Remain as a non-contestable consumer and continue to buy electricity from SPS at the regulated tariff. No action is required from you.

4. Do I have to choose the way I buy electricity on the day I become contestable?

You will be given a 60-day grace period, starting from the day you become contestable, to choose your electricity purchase option. During this period, SPS will continue to supply you electricity at the regulated tariff until:

(a) you have made your choice or
(b) the end of your grace period

5. What will happen to me if I do not make a choice by the end of the grace period?

If you have not made a choice by the end of your grace period, you will automatically buy electricity from the wholesale electricity market through SPS and your electricity purchases for the month will be billed based on spot prices that vary every half-hour.

6. Will I be able to make a choice after my grace period ends?

Yes. You can change your choice at any time and any number of times after your grace period ends.

7. Will I still be contestable if my average monthly consumption falls below the prevailing consumption threshold subsequently?

If you are already contestable, you will remain contestable even though your average monthly electricity consumption falls below the prevailing contestability threshold.

8. Will I pay less as a contestable consumer?

As a contestable consumer, you will buy electricity at market prices.

As market prices for electricity depend on the supply and demand situation, there will be up cycles and down cycles. The price of electricity to different consumers may also differ depending on their individual consumption needs. For instance, some consumers may be prepared to pay a premium for a firm electricity price i.e. fixed price retail contracts versus fuel price indexed retail contracts.

9. Do I need to apply for a new account with SPS after being classified as a contestable consumer?

Yes, once you have been classified as a contestable consumer, SPS will open a Market Support Services (MSS) account for you and inform you of the MSS account number and contestability start date.

10. How long does it take for my contestability application to be approved?

Contestability applications for normal metered accounts and master metered accounts will be approved within 2 and 4-5 business days respectively. This does not include the time needed to install or replace any metering equipment.

11. What must I do once my contestability application is approved?

All new contestable consumers will need the Advanced Metering Infrastructure (AMI) meters which will be installed by SP PowerGrid (SPPG). Please make an appointment with SPPG for the installation of the meter.

12. Why are only certain groups of contestable consumers allowed to switch back to non-contestable status (i.e. small consumers with an average monthly electricity consumption of less than 4,000 kWh)?

The option to switch back to non-contestable status is intended to protect small consumers as they may not have the bargaining power, as compared to large consumers, to negotiate for fair retail prices during tight market conditions.

We are unable to allow large contestable consumers to switch back to non-contestable status. Large contestable consumers, if given the option to revert, are likely to exercise it collectively under tight market conditions. This could destabilise the market and further increase the costs for the remaining contestable consumers. Small consumers will also end up with more volatile electricity tariffs if the larger consumers are allowed to cherry-pick and switch back and forth between the regulated tariff and retail packages.

13. Why is there a need for new Conditions of Service?

The existing agreement is for non-contestable consumers who buy electricity from SPS at the regulated tariff. When a consumer becomes contestable to buy electricity at market prices, a new set of Conditions of Service approved by the EMA will take effect. It sets out the terms and conditions for SPS as the Market Support Services Licensee (MSSL) to provide market support services to contestable consumers.

14. Will there be a change in the reliability of electricity supply to my premises now that I am contestable?

No. SP PowerAssets (SPPA), as the transmission licensee, remains responsible for the physical delivery of electricity supply to your premises regardless of which option you choose. Hence, you will continue to enjoy the same quality, safety and reliability of electricity supply if you choose to become contestable.

15. Who do I call if the power lines are damaged or the power goes out?

SPPG maintains the transmission and distribution network on behalf of SPPA. Please contact SPPG at 1800-778 8888 (24-Hr Electricity Service Centre) to report any problems with your electricity supply.