Electricity rates will increase by 8.94 centavos per kilowatt hour this March due to higher prices at the wholesale electricity spot market and increased charges from independent power producers.
Power utility giant Manila Electric Co. said the increase in power rates was also a result of higher taxes, and transmission charges.
The bill of households consuming 200 kWh a month would rise by P18 this month as overall electricity rates are now at P10.4961 per kWh from P10.4067 per kWh in February.
Generation charges covered by power supply agreements fell 29.66 centavos per kWh but it wasn’t enough to offset the increases from IPPs, WESM, and the National Grid Corp. of the Philippines, Meralco said.
PSAs accounts for 48% of Meralco’s requirement this month.
Charges from WESM surged 51.78 centavos as a result of tight supply conditions with the frequent plant outages aggravated by higher demand.
Cost of power from IPPs rose 5.49 centavos per kWh because of lower average plant dispatch.
WESM accounted for 12% of Meralco’s requirement while IPPs account for 40%.
Meralco said transmission charges to residential customers increased by 2.88 centavos per kWh because of higher ancillary service charges from NGCP and taxes and other charges increase by 35.72 centavos per kWh.
Meralco said the increase in charges would go to WESM, IPPs, and NGCP as it just collects the charges for them. (Eileen Mencias)