Singapore's electricity prices dropped to a 29-month low in February

It traded at a mega-discounted rate of $151/MWh.

According to the latest data released by the National Electricity Market of Singapore, the average monthly Uniform Singapore Energy Price (USEP) fell to $151/MWh in February. This is the lowest monthly level since September 2010. 

After falling below the Vesting Contract Hedge Price (VCHP) in December 2012, the Uniform Singapore Energy Price (USEP) continued to trade below the VCHP in 2013.

Notably, February’s USEP at $151/MWh is the lowest monthly USEP since September 2010, and represents the largest discount from the VCHP since April 2009. 

The VCHP fell from $205.52/MWh in the fourth quarter of 2012 to $194.44/MWh in the first quarter of 2013. 

On 15 February, the half-hourly USEP reached an all-time low at -$10.08/MWh in Period 5. Apart from this, the USEP also traded at or below $0/MWh for a total of 15 periods on 14 and 15 February. A contributing factor for the low USEP in February was the decline in demand.