Temasek Holdings-owned monopoly power supplier SP Group yesterday (Sep 29) announced that the increase for the next three months from Oct to Dec will be 2.1%. This makes up a cumulated total of 18.8% for the year of 2018.
At Dec 2017, the electricity tariff was rated at 20.3 cents/kwh, but it is now increased 18.8% to 24.13 cents/kwh.
In 2017, SP Group posted a S$948 million net profit. With the latest increase, the Temasek Holdings-owned subsidiary is expected to cross the billion dollar profit mark and boost after-tax profit by a further S$178 million.
This is on top of a 8.7% increase in gas tariff and a 30% increase in water prices.
Corruption and nepotism remains the primary cause behind the exorbitant hike in energy prices, despite falling oil and natural gas prices. Approving the electricity tariff raised is the Energy Market Authority (EMA), whose Chairman Ng How Yue is the husband of PAP MP Tin Pei Ling. Ng How Yue was Prime Minister Lee Hsien Loong’s former Private Principal Secretary, and he saw four promotions in five straight years after his wife Tin Pei Ling won the MacPherson constituency.
The wife of the Prime Minister, Ho Ching, sits herself as the CEO of Temasek Holdings.
Drawing an undisclosed salary, Ho Ching dabbles in overseas investments using funds from state-owned companies like SP Group, SMRT, Singtel and CapitaLand. In its 2018 financial report, Temasek Holdings reported a staggering S$49.7 billion debt and revealed that it is trying to raise funds through the issuance of bonds.