Smart Energy, Sustainable Future

SINGAPORE ELECTRICITY ROUNDTABLE 2013

TEN YEARS OF THE NEMS –REGULATOR’S PERSPECTIVE & THE ROADMAP AHEAD

Electricity Industry Milestones

1995

1998

1999

2000

2001

2002

2003

Corporatisation of PUB’s gas and electricity undertakings, Oct 1995

Singapore Electricity Pool commenced operation, Apr 1998

Government decision on further deregulation, Mar 2000

Energy Market Authority formed, Apr 2001

Commencement of Phase 1 Retail Market Liberalisation, Jun 2003

Contestability to all consumers (being studied)

Commencement of National Electricity Market of Singapore, Jan 2003

Commencement of Phase 2 Retail Market Liberalisation, Dec 20032004

Vesting Contract & Interruptible Load scheme introduced, Jan 2004

2008 Completion of Temasek’s divestment of the 3 gencos, Dec 2008200920102011

2

Electricity Industry Structure

Non-Contestable Sector Contestable Sector

3

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Fuel Mix for Electricity Generation

44

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0

1

2

3

4

5

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Q3 2013

Inde

x

(Index Base)

USEP HSFO

Downward Pressure on Electricity Prices Due to Competition

55

50

100

150

200

250

300

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

USEP

 ($/M

Wh)

2011 2012 2013

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Balancing Singapore’s Key Energy Challenges

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Enhancing Energy Supply Security and Cost‐Competitiveness

77

First LNG Terminal with initial throughput capacity of 3.5 Mtpa

The LNG Terminal enables Singapore to access global, competitively priced gas supplies

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Consumers will have more options to manage electricity costs

8

Provides an additional option for consumers to participate in NEMSand enhance price discovery

Provides a platform for trading “forward” electricity products for riskmanagement to complement the existing wholesale and retailelectricity market

Demand Response

Electricity Futures Market

8

Increased Retail Contestability 

Further liberalisation of the retail market to allow more non‐residential consumers to be eligible for retail contestability

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Keeping Our Energy Options Open

Investment in R&D to build capabilities and facilitate entry of renewables

Operational initiatives to prepare power system for greater deployment of intermittent sources such as solar energy

Pulau Ubin Micro‐grid Test‐bed Project

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Enabling Consumers to Make More Informed Decisions on Energy Use

Provision of extensive energy data on EMA website, through data.gov.sg and publication of Annual Singapore Energy Statistics

Pilot project with SP to redesign electricity bills to improve energy efficiency

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Conclusion

Diversifying our natural gas supply through LNG

Keeping our energy options open for further diversification beyond gas

Fostering market competition to drive innovation and economic efficiency in both electricity production and consumption 

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www.ema.gov.sg