HomeCost of LivingOPEN ELECTRICITY MARKET RETAILERS: I EXPECT CONSOLIDATION!

OPEN ELECTRICITY MARKET RETAILERS: I EXPECT CONSOLIDATION!

Dear readers, by now, I believe you would have read that two of Singapore’s Open Electricity Market (OEM) retailers, iSwitch Pte Ltd and Ohm Energy Pte Ltd are exiting from the OEM market. I also read from today’s newspapers that at least two others, Best Electricity Supply and Diamond Electric have stopped taking new customers.

This leaves eight other OEM retailers in Singapore’s OEM market and they are:

  1. Geneco (by Seraya Energy Pte Ltd)
  2. Keppel Electric
  3. PacificLight Energy
  4. Sembcorp Power
  5. Senoko Energy Supply
  6. Sunseap Energy
  7. Tuas Power
  8. Union Power

I believe there may be further consolidation in the OEM market simply because Singapore is a small market and size is limited. Consolidation such that there would be three to four large-scale players in the OEM market.

Just like for Singapore’s banking scene: we have DBS, OCBC and UOB.

Just like for Singapore’s telecom scene: we have Singtel, Starhub and M1.

It is reassuring that the government announced that there will be no energy disruption to retail customers. What I will find more reassuring will to be guaranteed that retail consumers like my family and I can continue to pay attractive electricity tariffs or at least still below the regulated market tariffs if electricity plans are bought from OEM players.

This is because the cost of living is not low in Singapore. Especially so, as more electricity is used at home nowadays as more people work and study from home in this new Covid-19 normal.

At the same time, I believe all of us will be trying to consume as little electricity as possible not just to save costs but also to save our environment and our planet.

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