Solar vs Electricity Retailers: Which Saves You More in Singapore 2026?
If you are looking to reduce your electricity bill in Singapore, you have two main options: switch to a cheaper electricity retailer, or install solar panels. Both save money. But the difference in how much they save is dramatic.
Understanding Your Options
Option 1: Electricity Retailers
Since 2019, Singapore homeowners can buy electricity from licensed retailers instead of SP Group. Retailers have historically offered rates 5 to 15% below the regulated tariff, and that gap has widened since SP Group's Q3 2026 tariff revision: the cheapest 24-month fixed-price OEM plans were listed around S$0.275 per kWh (including GST) in early July 2026 — about 21% below the new S$0.3478 per kWh regulated tariff (SP Group tariff revision, Q3 2026). Popular retailers include Geneco, Keppel Electric, Senoko Energy, Tuas Power, and PacificLight.
Option 2: Solar Panels
Solar panels generate electricity on your roof at an effective cost of S$0.06 to S$0.10 per kWh over 25 years. With Sunollo's pricing of S$1,000 to S$1,200 per kWp, a 10 kWp system costs S$10,000 to S$12,000 fully installed — including a battery-ready inverter, SunolloCare, and insurance.
Head-to-Head: The Numbers
For a semi-detached home consuming S$350 per month:
| Factor | Switch Retailer | Install Solar (Sunollo 10 kWp) |
|---|---|---|
| Monthly bill before | S$350 | S$350 |
| Monthly bill after | S$300 to S$330 | S$55 to S$120 |
| Monthly savings | S$20 to S$50 | S$230 to S$295 |
| Annual savings | S$240 to S$600 | S$2,760 to S$3,540 |
| Upfront cost | S$0 | S$0 (Sunollo plan) to S$11,000 |
| Lock-in period | 6 to 24 months | 25 years of savings |
| 25-year total savings | S$6,000 to S$15,000 | S$160,000 to S$220,000 |
| Battery-ready inverter | N/A | Yes (standard with Sunollo) |
| Includes insurance | No | Yes (SunolloCare) |
| Environmental impact | None | Reduces CO2 by 7 to 12 tonnes/year |
Over 25 years, solar delivers 10 to 35 times more savings than switching retailers.
Why the Gap Is So Large
Retailers Discount the Margin, Solar Eliminates the Cost
Retailers can only discount the regulated tariff (historically 5 to 15%, though the cheapest OEM plans are now discounting closer to 20% following SP Group's Q3 2026 tariff hike). Solar eliminates 50 to 100% of your grid electricity entirely. The effective cost of Sunollo solar (S$0.06 to S$0.10 per kWh over 25 years) is 64 to 78% below even the cheapest available OEM plan (approximately S$0.275 per kWh, including GST, as of early July 2026) — a different order of savings from a retailer discount.
Retailers Are Temporary, Solar Is Permanent
Retailer plans expire every 6 to 24 months. Solar generates free electricity for 25 to 35 years. Every time the tariff rises, your solar savings increase automatically.
The Rising Price Multiplier
| Year | Tariff | Retailer Savings/month | Solar Savings/month |
|---|---|---|---|
| 2026 (Q3, actual) | 34.78 cents (with GST) | S$37 | S$278 |
| 2031 | 37.73 cents | S$40 | S$310 |
| 2036 | 43.71 cents | S$46 | S$370 |
| 2041 | 50.65 cents | S$53 | S$440 |
| 2046 | 58.69 cents | S$61 | S$520 |
2026 figure reflects SP Group's actual Q3 2026 tariff revision (S$0.3478/kWh with GST, up 17% from Q2 2026). 2031-2046 are illustrative projections from Sunollo's original model and have not been rebased to this higher starting point.
When Retailers Make Sense
- You live in an HDB flat and cannot install solar
- You are renting
- Your roof is unsuitable for solar
- You already have solar and want to minimise remaining grid cost
The Hybrid Strategy: Solar Plus Best Retailer
The optimal approach combines both:
- Install solar (Sunollo, S$1,000 to S$1,200/kWp, battery-ready inverter standard)
- Switch to cheapest retailer for remaining grid electricity
- Add battery (S$5,000 to S$12,000) to further reduce grid dependence
| Component | Monthly Cost | Monthly Savings |
|---|---|---|
| Original bill | S$350 | — |
| After solar (10 kWp, battery-ready inverter) | S$120 | S$230 |
| After retailer switch | S$102 | S$248 |
| After battery (10 kWh) | S$40 | S$310 |
Sunollo's Abundance Pro delivers the full hybrid strategy: panels with a battery-ready inverter, battery, and EV charging with SunolloCare insurance.
Total Cost of Ownership: 25-Year View
| Strategy | 25-Year Cost | 25-Year Savings |
|---|---|---|
| SP Group only | S$127,000 | S$0 |
| Best retailer | S$112,000 | S$15,000 |
| Solar (Sunollo purchase) | S$11,000 + S$22,000 grid | S$94,000 |
| Solar (Sunollo S$0 plan) | S$29,700 + S$22,000 grid | S$75,300 |
| Solar + battery + retailer | S$19,500 + S$8,000 grid | S$99,500 |
Sunollo's Unique Advantages
What makes Sunollo solar dramatically better value than retailer switching:
- S$1,000 to S$1,200 per kWp — competitive with budget installers but includes everything
- Battery-ready inverters as standard — every system pre-wired for battery add-on, no rewiring needed later
- Optimisers for shaded roofs — Sunollo pioneered optimizer technology for shaded roofs in Singapore, available where roof conditions call for it
- SunolloCare — 25-year maintenance, monitoring, and performance guarantee
- Full insurance — weather, theft, fire, and electrical fault coverage included
- Battery options — S$5,000 to S$12,000 from Tesla, BYD, Huawei, Sigenergy, all insured
- Savings guarantee — rebate if your system underperforms projections
Common Objections
"Switching retailers is free and instant"
With Sunollo's S$0 upfront plan, solar is also free to start. You pay a subscription that is lower than your savings — cash-flow positive from month one, but with 10x the savings of a retailer switch.
"Solar does not work at night"
That is why the hybrid works: solar for daytime, battery for evening, cheapest retailer for the remainder. Add a Sunollo battery (S$5,000 to S$12,000) to cover 80 to 90% of your total consumption with solar.
Frequently Asked Questions
Should I switch retailers or install solar?
If you have a landed property, solar saves 10 to 35x more. Sunollo's pricing of S$1,000 to S$1,200 per kWp with a battery-ready inverter, SunolloCare, and insurance makes it the clear winner. For HDB or condo residents without solar access, switching retailers is the best option.
How much does switching retailers save?
Historically 5 to 15%, though the cheapest OEM plans are now discounting closer to 20% off the Q3 2026 regulated tariff (S$0.3478 per kWh with GST) — roughly S$20 to S$50 per month for a typical semi-detached bill. Temporary and resets when the contract expires.
How much does solar save compared to retailers?
Solar saves 50 to 80% (S$120 to S$550 per month). Over 25 years, solar saves S$120,000 to S$350,000 versus S$6,000 to S$15,000 from retailers.
What is the cheapest electricity in Singapore?
Solar self-consumption at S$0.06 to S$0.10 per kWh (Sunollo, 25-year basis) — 64 to 78% below even the cheapest grid option. The cheapest available grid option is the cheapest Open Electricity Market plan, approximately S$0.275 per kWh including GST as of early July 2026, versus S$0.3478 per kWh on SP Group's default Q3 2026 regulated tariff (source: Sunollo Electricity Price Tracker).
Make the Smart Choice
Switching retailers saves a little. Solar saves a lot. Combining both saves the most. Get a free solar assessment from Sunollo at S$1,000 to S$1,200 per kWp — including a battery-ready inverter, SunolloCare, and insurance.
