Singapore wholesale electricity prices (WEP) have further slumped to below SRMC (Short Run Marginal Cost) following the commissioning of the 411 MW Tuaspring CCGT power plant. Power prices in the first three months of this year have averaged US$40/MWh. This is well below the estimated SRMC of CCGTs plants at US$50/MWh and LRMC (Long Run Marginal Cost) of US$65/MWh at a LNG price of 6.8/mmbtu. These prices are expected to remain at current levels over the next two years resulting in negative spark spreads and hence the power plants using LNG only will even have difficulties recovering their SRMC. This has raised doubts over the sustainability of the new entrants.