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A Complete Guide to Solar Power Compensation, Rebate Rates, and Registration in Singapore

In Singapore, solar panel owners can receive compensation for surplus electricity they feed back into the national grid. The compensation method depends on the type of consumer and the capacity of the solar installation.

1. Simplified Credit Treatment (SCT) Scheme

Eligibility: This scheme is designed for non-contestable consumers—those who purchase electricity directly from SP Group—and have solar installations with a capacity below 1 megawatt alternating current (MWac).

Compensation: Under SCT, the excess solar energy exported to the grid is credited to the consumer's monthly electricity bill. The credit is calculated based on the prevailing regulated electricity tariff, minus grid charges. As of the second quarter of 2025, the export rate is approximately 21.87 cents per kilowatt-hour (excluding GST).

Registration Process: To enrol, consumers must complete the Net Export Rebate Application Form and submit it through SP Services' e-Business portal or via their appointed Licensed Electrical Worker (LEW). Alternatively, hardcopy applications can be mailed to SP Group at 2 Kallang Sector, Singapore 349277. For GIRO payments, an additional form is required. If you prefer to receive the payment via GIRO, download this form and submit it with the Net Export Rebate application form.

To register with SP Group:

Complete the Net Export Rebate Application Form

2. Enhanced Central Intermediary Scheme (ECIS)

Eligibility: This scheme caters to contestable consumers—those who buy electricity from retailers other than SP Group—and have solar installations with capacities less than 10 MWac.

Compensation: Under ECIS, the compensation for excess solar energy is based on the half-hourly wholesale electricity prices, primarily the Uniform Singapore Energy Price (USEP). These rates fluctuate based on real-time market conditions, making the compensation variable.

Registration Process: Similar to SCT, consumers must complete the Net Export Rebate Application Form and submit it through the appropriate channels. Additionally, consumers need to register with the Energy Market Company (EMC) as a Market Participant. For those who do not wish to be paid for excess electricity, registering as a Non-Exporting Intermittent Generation Facility (NEIGF) is an option, which involves paying a fixed charge every six months based on the system's capacity. If you prefer to receive the payment via GIRO, download this form and submit it with the Net Export Rebate application form.

To register with SP Group:

Complete the Net Export Rebate Application Form

3. Direct Registration with Energy Market Company (EMC)

Eligibility: This option is for contestable consumers with solar installations of 10 MWac or more.

Compensation: Consumers must register directly with EMC to sell excess solar-generated electricity. They are required to register their facility as a Generation Facility and will receive payments based on market rates.

Registration Process: Interested parties should visit the EMC (Energy Market Company) website for detailed information on the registration process and requirements.

Discover the real cost, benefits, rebates, and why solar power is a smart investment for homes and businesses in Singapore.

🔆 Introduction

Singapore may be small, but it’s making huge strides in renewable energy. With the government pushing toward a greener future, solar panel installation in Singapore is more accessible and affordable than ever. If you're wondering whether solar is worth the investment — spoiler: it is — this guide is for you.

From solar panel costs in Singapore to available government rebates, we’ll walk you through everything you need to know about going solar in 2025.

🌞 Why Solar Energy Is Gaining Popularity in Singapore:

Despite land constraints, Singapore has over 6 hours of sunlight per day on average, making it a viable candidate for solar power systems. And with the price of solar equipment decreasing and electricity rates increasing, the demand for solar energy in Singapore is skyrocketing.

Here’s why:

✅ 1. Save Money on Electricity Bills

One of the biggest reasons people install residential solar panels in Singapore is to reduce their electricity bills. A typical household can save between $1,000 to $2,000 per year, depending on consumption and system size.

With energy prices expected to rise further in 2025, switching to solar now can offer long-term financial stability.

✅ 2. Government Rebates and Incentives

The Singapore government has rolled out various initiatives to promote solar power adoption, including:

1. SolarNova Programme (supports HDB solar panel projects)
2. Enhanced Green Mark Incentive Scheme
3. Enterprise Sustainability Programme (for SMEs)

These make solar panel rebates in Singapore more accessible to both individuals and businesses, lowering upfront costs significantly.

✅ 3. Sustainability Goals & Green Branding

Singapore’s Green Plan 2030 aims to quadruple solar energy deployment by 2025. Going solar not only reduces your carbon footprint but also supports national climate goals.

For businesses, solar adoption boosts corporate social responsibility (CSR) and green branding, which appeals to eco-conscious customers.

💰 Solar Panel Price in Singapore (2025)

The cost of installing solar panels depends on your property type, roof size, and power usage. Here’s a general breakdown:

🔍 Pro Tip: You can check if you're eligible for solar rebates in Singapore to lower these costs further.

🏡 Who Can Benefit From Solar Panels in Singapore?

🏠 Homeowners

More HDB rooftops are being fitted with solar panels under the SolarNova programme. If you live in a landed house, you have full control over your rooftop and can install a system sized to your energy needs.

🏢 Businesses & Commercial Properties

If you own a business property, installing a commercial solar power system in Singapore can:

1. Reduce operational costs
2. Improve your BCA Green Mark rating
3. Attract ESG-conscious partners

🛠️ Solar Installation Process in Singapore

Wondering what’s involved in going solar? Here's the typical workflow when working with a solar company in Singapore:

1. Site Assessment
2. Roof size, direction, and shading are evaluated.
3. Customized Quotation
4. You get a detailed proposal with system design, pricing, and savings projection.
5. Installation
6. Typically takes 1–2 days with minimal disruption.
7. Testing & Commissioning
8. The system is inspected, connected to the grid, and activated.
9. Monitoring & Maintenance
10. Most modern systems come with app-based monitoring and 20–25 year panel warranties.

📈 Is Solar Worth It in Singapore in 2025?

Let’s do a quick cost-benefit analysis:

1. Initial investment: ~$15,000 for a typical landed home
2. Monthly savings: ~$250
3. Annual savings: ~$2400
4. Break-even: ~5 years
5. Panel lifespan: 25–30 years

That means you could enjoy 20+ years of free electricity after ROI. ✅

And with electricity tariffs rising, solar becomes even more appealing every year.

🧠 Common Questions

🔹 Can I install solar on my HDB flat?

Direct installation isn’t allowed for individual HDB owners, but town councils and government agencies like HDB manage rooftop solar projects under SolarNova.

🔹 How long does a solar panel system last?

Most systems last 25–30 years, with inverter replacements usually needed around year 10–15.

🔹 What happens on cloudy days?

Solar panels still generate power, just at lower efficiency. Most systems are grid-tied, so your home still receives power seamlessly.

🚀 Final Thoughts

The future is solar — and in Singapore, the future is now. With abundant sunshine, government incentives, and rapidly falling costs, solar panel installation offers incredible returns for both homeowners and businesses in 2025.

Looking for the best solar company in Singapore?

Let 3TEL Solar & Energy guide you through the process — from site assessment to installation and rebates.

👉 Get a free quote today and start saving with solar!