Consumers will see higher electricity bills this month after Manila Electric Co. (Meralco) raised power rates, triggered by higher wholesale electricity prices, costlier fuel and the continued depreciation of the peso.
On Thursday, Meralco vice president and head of Corporate Communications Joe R. Zaldarriaga said for households consuming 200 kWh, the adjustment translates to an additional P30 in their monthly electricity bill. The increase was mainly driven by a rise in the generation charge, which climbed from P0.2762 per kWh to P9.0704 per kWh.
Consumption patterns
“While there is an increase in electricity rates this month, elevated consumption patterns observed in May are also a major factor that could drive higher power bills of customers,” Zaldarriaga said.
Wholesale Electricity Spot Market rose amid tight power supply conditions in the Luzon grid. The grid was placed on Red Alert for three consecutive days in May as electricity demand surged past previous record levels while available generation capacity was constrained.
The impact of higher generation costs was partly offset by a reduction in transmission charges, which fell by P0.1525 per kWh during the period.
Ongoing refund
Despite the increase, residential customers continue to receive an ongoing refund equivalent to P0.4278 per kWh, helping cushion the effect of rising power costs.
The utility urged customers to monitor their electricity use as higher rates and elevated consumption are expected to combine to push household power bills higher this month.