NYJC 2023 H2 Economics 9570 P1

1 JC2 H2 Economics 9570/01 NANYANG JUNIOR COLLEGE 2023 JC2 Preliminary Examination H2 ECONOMICS Paper No: 9570 /01 30 th August 202 3 Time : 0800 – 1030 hrs Wednes day Duration : 2 hours 30 mins INSTRUCTIONS TO CANDIDATES Do not turn over this paper until you are told to do so. Write your name, class and the name of your E conomics tutor in the space provided on the answer booklet. You are required to answer ALL questions. The number of marks is given in the brackets at the end of each part question. Write your answers in the answer booklet provided. If you use more than one answer booklet, slot the additional booklets into the first booklet. Please start each case study on a fresh page. You are advised to spend several minutes reading through the questions and data before you begin writing your answers. There are 7 printed pages including this cover page.

2 JC2 H2 Economics 9570/01 Answer all questions Question 1: Singapore Electricity Market Extract 1: The Retail Electricity Market The Singapore electricity market consists of the wholesale electricity market and the retail electricity market. Power generation companies have to bid to sell electricity in the wholesale electricity market. Depending on electricity demand and supply, the price of electricity in the wholesale electricity market changes. Electricity retailers then buy electricity in bulk from the wholesale electricity market and compete to sell electricity to consumers. Since 2001, the Energy Market Authority (EMA) has pro gressively opened up the retail electricity market to competition. This is to allow consumers to enjoy more choices and flexibility when buying electricity. Consumers will also benefit from competitive pricing and innovative offers while enjoying the same electricity supply. The Open Electricity Market marks the final phase of market liberalization efforts. In November 2018, the Open Electricity Market was extended to all consumers in Singapore, giving them the option of buying electricity on a plan from any retailer that best meets their need. Source: Adapted from openelectricitymarket.sg, accessed on 18 August 2023 Table 1: Market share of Electricity Retailers in Singapore between 2014 and 2021 (Unit: Percent (%)) 2014 2015 2016 2017 2018 2019 2020 2021 SP Services Ltd 33.0 30.8 30.1 27.7 24.6 20.4 15.8 15.5 Tuas Power Supply Pte Ltd 12.7 12.6 13.4 13.6 13.7 15.1 17.8 15.4 Keppel Electric Pte Ltd 13.4 11.5 10.4 13.8 14.4 14.1 15.0 15.0 Seraya Energy Pte Ltd 14.2 14.3 12.9 12.2 11.9 14.5 14.7 14.1 Senoko Energy Supply Pte Ltd 14.6 12.7 13.0 11.6 11.8 13.1 12.5 13.3 SembCorp Power Pte Ltd 8.3 12.2 9.8 10.9 11.9 12.8