MANILA — The Manila Electric Company (Meralco) announced Thursday a surge in electricity rates, reaching PHP12.0545 per kilowatt hour (kWh), primarily due to an increase in transmission charges.
This marks the third consecutive month of rate hikes, with a rise of PHP0.2347 per kWh compared to October.
The transmission charge saw a significant uptick, rising by PHP0.211 per kWh for residential customers, driven by elevated ancillary service charges.
The National Grid Corporation of the Philippines (NGCP) experienced a nearly fourfold surge in ancillary service charges, from PHP23.17 per kWh to PHP91.35 per kWh.
Approximately 76.5 percent of total ancillary service charges can be attributed to the cost of regulating reserves.
The Energy Regulatory Commission (ERC) approved an additional 257.78 MW for regulating reserves in October.
Additionally, the generation charge increased by PHP0.0671, reaching PHP7.1938 per kWh, influenced by higher charges from the Wholesale Electricity Spot Market (WESM) and independent power producers (IPPs).
Despite this, the power supply agreement (PSA) rate mitigated the overall generation charge increase, decreasing by PHP0.2980 per kWh due to lower international coal prices, higher PSA dispatch, and increased excess energy deliveries.
Last month, PSAs supplied 53.2 percent of Meralco’s power requirement, followed by IPPs at 32.5 percent and WESM at 14.3 percent.
For households consuming 200 kWh, an anticipated increase of PHP47 in their total electricity bill is expected.
Since the beginning of the year, Meralco’s power rate has experienced a net increase of PHP1.1544 per kWh from January’s rate of PHP10.9001.
(ai/mnm)
