City Gas Pte Ltd ("City Gas") was formed as a subsidiary of PowerGas Ltd ("PowerGas") to take over the production of town gas and retail of piped gas to all of PowerGas' domestic, commercial and industrial customers. City Gas will also oversee the production of town gas at Senoko Gasworks. PowerGas has transferred City Gas to Temasek Holdings (Private) Limited on 2 Jan 2002.

Existing customers of PowerGas are assured that their piped gas supply will not be affected by this exercise. City Gas, now a Temasek subsidiary, will continue to service and fulfill all existing contractual and commercial obligations which customers have with PowerGas. City Gas will continue to maintain and further improve the customer service levels that PowerGas has established through the years.

City Gas will have no lack of experienced staff as all the sales and marketing staff, customer service personnel and production workers of PowerGas have been transferred to City Gas. Customers will still be billed for their gas consumption by Power Supply Ltd. This ensures that customers enjoy the same level of customer service as before. City Gas also operates and manages both the 24-hour Customer Service Centre (CSC) and Gas Installation and Application Unit (GIAU). The telephone numbers remain unchanged. Customers who wish to apply for gas installation appointments can call 1800-736-2080, while those who require maintenance and repair services can continue to call CSC at 1800-752-1800 for assistance.

PowerGas will henceforth undertake the role of the sole gas transporter and gas system operator in Singapore. PowerGas will thus focus on being a key infrastructure provider in the Singapore energy market, maintaining the reliability, safety and quality of the gas transportation and distribution network. As the gas transportation business is a natural monopoly, PowerGas will continue to be price-regulated by the Energy Market Authority of Singapore.

The transfer of City Gas from PowerGas to Temasek Holdings is part of the re-structuring of the gas industry currently undertaken by the Government to encourage competition in the industry. In addition to City Gas, PowerGas has also divested Gas Supply Pte Ltd to Temasek Holdings. Gas Supply Pte Ltd had signed the gas deal with Pertamina in February 2001 for the import of natural gas from Sumatra.

For further enquiries, please contact:

City Gas
Ms Manbir Lalwani
Manager (Corporate Communications)
Tel: 6823 8663
Email: manbirpl@spower.com.sg

PowerGas
Ms Sarah Koh
Asst. Vice-President (Public Relations)
Tel: 6823 8180
Email: sarahkoh@spower.com.sg

Temasek Holdings
Ms Eva Ho
Vice President, Corporate Communications
Tel: 6828 6763
Email: evaho@temasek.com.sg

EMA
Mrs Choo Wai Chan
Head, Corporate Communications
Tel: 6835 8011
Email: choo_wai_chan@ema.gov.sg