Flexibility in Retail Electricity Market Contracts for Households to Renew Contract or Switch Suppliers

Dr Choo Pei Ling asked the Deputy Prime Minister and Minister for Trade and Industry (a) whether the Government has assessed if current contract renewal and switching window periods in the retail electricity market provide households with sufficient flexibility to respond to changing tariff conditions; and (b) whether enhancements are being considered to allow consumers to make more timely and informed plan choices.

The Energy Market Authority (EMA) regulates the retail electricity market to ensure it remains competitive and meets the needs of consumers.

Most electricity retailers offer 12- and 24-month contracts, but shorter-term and no-contract plans are also available. Consumers may refer to EMA's price comparison tool on the Open Electricity Market website to compare standard price plans offered by electricity retailers. SP Group also offers the Regulated Tariff without any minimum contracting period.

EMA has enhanced safeguards for residential consumers on auto-renewal contracts. First, retailers must notify consumers twice before any auto-renewal, instead of once. Second, consumers will also be able to switch to another retailer or a new contract within 60 days after their previous contract is auto-renewed without any penalty. This is an extension from the current 30 days. These changes were announced in December 2025 and will come into effect from 19 June this year.

EMA will continue to monitor the retail electricity market and implement measures if necessary to protect consumer interests. We encourage consumers to study the various retail plans on offer to find one that meets their needs.