Everyone should know about how the electricity is generated and how the electricity is sold so that they can easily understand about the electricity dealer.
Generally, the power which everyone use is produced by the companies which generate power. The power plants which we see around us are the companies which supply electricity to all the places which require electricity and consumers should buy after proper singapore electricity comparison.
The electricity-generating companies conduct auctions and various other industries come and bid on it. The industry which wins will be given some amount of the power and that company will give power to the consumers. The industry which buys will be responsible for giving power to locations and that industry itself takes the bill among from the public. Generally, these industries bid for bulk power so that it can supply to a wide range of areas. Generally, every hour bidding is done and power is allotted to different companies. The power is supplied to them through the power plants.
So the industry supplying the power is responsible to set the price but to save consumers from the prices, there us an authority called energy let authority which sets the tariff and so to it that it is as low as possible as if these authority is not present the industries can sell for whatever prices they wish to and here consumers may suffer from high costs.
The set tariff is not constant but it can get changed quarterly. These revised costs will be based on fuel price and none fuel price. Again the fuel price is set by reviewing if the prices of the natural gas in the market. Whereas the non-fuel price depends on background electricity infrastructure and other services.
There are many retailers available in the market from which consumers can choose from where they want to buy electricity.