Lower transmission charges to trim June power bills



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Consumers may see slight relief in their overall power bills this June after transmission charges declined last month, according to the National Grid Corp. of the Philippines (NGCP).
The grid operator said Monday the overall average transmission rate fell by 9.33 percent to P1.4492 per kilowatt-hour (kWh) from P1.5983/kWh in April, reflecting lower transmission wheeling and ancillary services (AS) charges.
Transmission wheeling rates, which cover the cost of delivering electricity through the grid, declined by 6.99 percent to P0.5607/kWh from P0.6028/kWh in the previous billing period.
Meanwhile, AS rates, which cover reserve power procured to support grid reliability, dropped by 10.73 percent to P0.7220/kWh from P0.8088/kWh.
The lower transmission charges are expected to contribute to reduced power rates for end-users, as these costs are included in electricity bills collected by distribution utilities.
“For the June electric bill of end consumers, NGCP charges only 56 centavos per kWh for the delivery of its services,” NGCP said.
The company added that its transmission wheeling charges are regulated by the Energy Regulatory Commission under a revenue-cap mechanism, while ancillary service costs are pass-through charges paid to service providers.