Meralco hikes power rates by 31 centavos this holiday season
MANILA, Philippines—Consumers will be forced to tighten their belts this holiday season as the Manila Electric Co. (Meralco) announced an increase in power rates for a typical household by 31 centavos to P9.7773 per kilowatt hour.
In a statement on Friday (Dec. 19), Meralco said higher generation charge pushed rates up. This was equivalent to an increase of about P63 in the total bill of a residential customer consuming 200 kWh.
Generation charge for the month rose by 19 centavos to P5.5343 per kWh from P5.3346 per kWh. Meralco said this already included the first of the four monthly installments covering deferred costs from the November bill.
The Energy Regulatory Commission had directed the country’s largest power distributor to defer the collection of portions of their suppliers’ generation costs and to bill these on a staggered basis starting this December until March next year.
Charges from independent power producers (IPPs) dropped by 15 centavos per kWh, with the resumption of gas supply from Malampaya and improved dispatch of Sta. Rita and San Lorenzo plants.
“However, even with said resumption, the First Gas plants still used alternative fuel due to continuing supply restriction,” said Meralco.
Rates at the Wholesale Electricity Spot Market (WESM), which acts like a stock market for power generation, were down by 6 centavos per kWh due to improved power supply situation in Luzon amid fewer plant outages coupled with the reduction in demand.
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