Customers of the Manila Electric Company (Meralco) will benefit from reduced power rates this January — a welcome development to start the year — as the distribution utility announced a P0.22 per kilowatt-hour kWh decrease, bringing the overall rate for a typical household to P11.74 per kWh.

For households consuming 200 kWh per month, the decrease is equivalent to a reduction of around P44 in their electricity bill. Meanwhile, those with a 300-kWh consumption will see a P66 decrease, while customers with 400 kWh and 500 kWh usage will experience reductions of P89 and P112, respectively.

Meralco vice president and head of Corporate Communications Joe R. Zaldarriaga attributed the overall electricity rate decrease this January to lower generation charge, which went down by P0.13 per kWh to P6.84 per kWh.

The decrease in power rates comes as a relief for consumers given the series of increases in fuel prices.

“We hope that our customers will benefit from the lower electricity rates this month. Rest assured that Meralco remains relentless in fulfilling its mission of delivering reliable and stable electricity service at the least cost possible to our customers,” Zaldarriaga said.

Zaldarriaga explained that the decrease in the generation charge was in turn driven by lower costs from the Wholesale Electricity Spot Market (WESM) and Independent Power Producers (IPPs) — which were able to offset the increase in charges from Power Supply Agreements (PSAs).

Transmission and other charges also registered a net reduction of P0.09 per kWh. Pass-through charges for generation and transmission are paid to the power suppliers and the grid operator, respectively, while taxes, universal charges, and Feed-in Tariff Allowance (FIT-All) are all remitted to the government.

Meralco’s distribution charge, on the other hand, has not moved since the P0.04 per kWh reduction for a typical residential customer in August 2022.

Energy efficiency tips

To better manage electricity consumption, Meralco also reminded its customers to continue practicing energy efficiency.

“While electricity rates decreased this month, we would like to remind our customers to continue practicing energy efficiency as a way of life especially with the dry season is fast approaching,” Zaldarriaga said.

Some energy efficiency tips that customers can observe are:

• Unplug appliances when not in use. Unplugging your appliances when not in use can help save energy consumption by avoiding phantom load.

• Keep the refrigerator full, but do not overload. Keep refrigerators at least two-thirds full to allow for proper air circulation of cool air inside. 

• Store food properly in the refrigerator. Don’t store hot food. Let it cool to room temperature first or your refrigerator has to work harder to bring the temperature down.

• Clean fans regularly. The dust that accumulates on the fan blades, motor housings and grills reduces the air current generated by the fan.

• Maximize the operation of your washing machine. Wash at full loads. Washing a single item or half loads use the same amount of energy as doing a full load.

• Iron large batches of clothing at one time. This avoids constantly reheating the iron and wasting energy. Also try ironing clothes during weekends when the demand for energy is lower.

• Plan ahead before cooking. Prepare all ingredients beforehand to avoid frequent switching of the electric stove.

• Utilize natural lighting. Maximize the use of natural light whenever possible. It is the best source of light and will help you save on energy.

• Choose the right size of air conditioner. With the right unit size, your air conditioner will operate properly for peak efficiency and require low maintenance. 

• Regularly check and clean your air conditioner. A dirty filter blocks normal airflow and significantly reduces its efficiency.

Meralco customers can also have better control of their monthly electricity bills with the help of the Meralco Appliance Calculator that provides information on the energy consumption of appliances and gadgets.