Reduced Charges for Tengah BTO Homeowners Who Use Centralised Cooling System

Remember the whole Tengah saga, where problems after problems began to arise shortly after the first few residents moved in?

One of such problems faced by tenants was the fancy centralised cooling system, which was then hailed as an eco-friendly, more environmentally friendly alternative to the conventional air condition unit, removing heat by circulating chilled water from centralised chillers to homes in selected housing blocks.

However, as construction progressed, concerns emerged regarding the unattractive trunking covering the cooling system pipes traversing ceilings.

Even as residents moved in by October 2023, the cooling systems failed to meet expectations. Complaints included systems blowing hot air despite a 16-degree Celsius setting and homes remaining warm hours after activation.

Additionally, residents reported condensation and leaks damaging paint and vinyl flooring in units months later.

As a gesture of goodwill, SP Group took steps to alleviate concerns among Tengah homeowners by waiving all centralised cooling system usage charges from November last year until the end of 2023, and reduced the usage rate to S$0.132 per kWrh from 1 January onwards.

The company attributed workmanship issues to construction constraints due to the COVID-19 pandemic, which led to an accelerated timeline for the Housing and Development Board (HDB) to hand over flats to residents. This limited their ability to conduct thorough checks before residents collected their keys.

As much misfortune had befallen the homeowners in Tengah, they may feel a little more assured upon hearing the following announcement. 

On Thursday, 28 March 2024, it was announced by SP Group that homeowners in Tengah utilising the centralised cooling system will benefit from an even more reduced rate for chilled water usage in the second quarter of this year.

The rate for April to June will decrease by 7.5% compared to the previous quarter, according to the national grid operator.

As mentioned earlier, the rate was set at S$0.132 per kilowatt-hour refrigeration (kWrh) since 1 January 2024, and starting from 1 April to 30 June, the rate will be lowered to S$0.122 per kWrh, excluding GST.

Additionally, SP Group revealed an extended six-month warranty for customers who have received or will receive their flat keys by December 31 this year.

This warranty supplements the standard 12-month warranty, providing coverage for the centralised cooling system’s piping and trunking within the flats.

In their recent announcement regarding chilled water usage rates, SP Group expressed their commitment to collaborating closely with Daikin to address ongoing challenges faced by customers.

Most condensation issues have been resolved, and their priority is to swiftly resolve any remaining concerns.

By the end of January, residential blocks in three Tengah precincts, including Plantation Acres, Plantation Grange, and Plantation Village, were completed.

Plantation Village, the latest Build-to-Order project finished, comprises 15 residential blocks, with approximately 92% of flat owners having collected their keys as of 9 March, according to HDB.

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