USEP & Electricity Prices in Singapore 2025

Solar homeowners in Singapore have the choice between two payment schemes for exporting solar electricity to the grid. If you’re a solar homeowner in Singapore signed on to an Open Electricity Market (OEM) retailer, chances are you’ve already felt the pinch — your solar export rates aren’t what they used to be.

You’re not imagining things. Over the past year, electricity prices in Singapore’s wholesale market — specifically the Uniform Singapore Energy Price (USEP) — have dropped significantly. This has a direct knock-on effect for homeowners with solar systems signed under the Enhanced Central Intermediary Scheme (ECIS), where your solar exports are paid at rates tied to USEP.

But what exactly is going on? Will prices recover anytime soon? And most importantly — what can you do about it to protect your savings? Let’s break it down.

Quick Refresher: What is USEP?

USEP stands for Uniform Singapore Energy Price. It is the half-hourly electricity price in Singapore’s Wholesale Electricity Market (SWEM). This market operates based on demand and supply — meaning prices can fluctuate depending on consumption patterns, fuel prices, and market conditions.

When electricity demand is high or supply is tight (as it was during the global energy crunch of 2021-2022), USEP soars. But when demand eases or supply improves, USEP falls.

So, Why Are USEP Prices Falling Now?

Since July 2023, the Energy Market Authority (EMA) has introduced new measures to reduce electricity price volatility and ensure sufficient electricity supply for all consumers in Singapore. These include:

1. Temporary Price Cap (TPC)

The TPC acts like a safety net for Singapore’s electricity market. When prices spike too high for too long, the TPC kicks in — capping the wholesale electricity price temporarily to prevent prolonged volatility.

This makes the market less vulnerable to extreme price swings, but also means USEP won’t reach the same record highs it did in the past.

2. New Vesting Framework (2023-2028)

EMA also introduced a new vesting regime that requires generation companies (gencos) to commit a portion of their electricity output to SP Group at a pre-determined price.

This helps prevent market manipulation, reduces the risk of sudden price spikes, and ensures Singapore has a stable and affordable electricity supply for households.

What Are the USEP Trends Like from 2024 to 2025?

Here’s how the average USEP prices have changed over the past 6 quarters:

What Does This Mean for Solar Homeowners?

If you are signed  under ECIS (typically with an OEM retailer other than SP Group), your solar export earnings are directly tied to these USEP prices.

As USEP falls, so does the rate you get paid for your exported solar energy.

This might come as a surprise — especially if you enjoyed higher export rates during the energy crisis in 2021-2022. But with the market stabilising, lower USEP prices are likely here to stay for the foreseeable future.

Our Recommendation: Consider Switching to SP Group's Regulated Tariff

Given the current market environment in 2025, switching to SP Group’s regulated tariff may be the most practical option for homeowners looking for price stability, on both your electricity costs as well as your solar electricity exports.

As of Q2 2025, SP Group's regulated tariff is:

→ 28.12 cents/kWh (excluding GST)
→ 30.65 cents/kWh (including GST)

This rate is table, predictable, and protects you from further declines in the wholesale market.

By signing on to SP Group, solar homeowners are also eligible for a sell-back of excess solar electricity under the Simplified Credit Treatment (SCT) scheme which offers predictable export rates based on quarterly SP Group rates.

As of Q2 2025, the solar export rate under SP Group's SCT scheme is:

→ 21.87 cents/kWh (excluding GST)

What's the Process to Switch?

If your contract with your current retailer is coming up for renewal, switching to SP Group is a straightforward process.

Just remember to submit a new Net Export Rebate (NER) form through your retailer — your solar installer will usually be able to assist with this step. For GetSolar customers, simply reach out to us and we'll sort this out for you!

Are There Other Electricity Plans to Consider?

Absolutely. Depending on your household’s energy usage patterns, you may also want to explore the following options:

• Fixed price plans from reputable retailers like Tuas Power, Senoko Energy, or Sembcorp Power for long-term certainty.
• Peak and off-peak plans from providers like PacificLight - which can help optimise your savings if your household uses more energy during non-solar hours (e.g., at night).

Do note that as long as you're signed on to any of the above OEM retailers, your solar exports will continue to be based on USEP prices which are volatile.

Not Yet a Solar Homeowner?

While the drop in USEP may seem discouraging for some, it doesn’t change the fact that solar remains a smart, sustainable long-term investment for homeowners in Singapore.

Solar energy allows you to take greater control of your energy consumption, lower your electricity bills, and contribute to a cleaner future.

At GetSolar, we make going solar simple and transparent. Our free online Solar Assessment Tool lets you generate an instant quote for your home — with no obligation required.

Explore flexible payment plans, including Rent-To-Own options with zero upfront cost, designed to make solar accessible for more Singaporeans.

Final Thoughts

Singapore’s energy market is evolving — and as homeowners, being adaptable is key.

Falling USEP prices are a direct result of EMA’s efforts to create a more stable and resilient electricity market. While this means lower export earnings for solar homeowners under ECIS, there are still practical steps you can take to maximise your savings.

Whether that means switching to SP Group’s regulated tariff or finding a suitable fixed-price plan, the choice is yours — and we’re here to guide you every step of the way.