Meralco raises power rates this month
MANILA, Philippines - Consumers should expect higher electricity bills for November, after Manila Electric Co. (Meralco) announced a round of rate hikes for its generation, transmission and system loss charges.
The utility announced on Friday a total of P0.245 per killowat-hour (kWh) increase from various pass-through and other charges to consumers.
For its generation charge, Meralco hiked the rate by P0.135 per kWh in November to P5.63/kWh, blamed to upward price adjustments from generators selling through the Wholesale Electricity Spot Market (WESM) and National Power Corporation (NPC).
Meralco said WESM and NPC rates went up by P2.30/kWh and P0.15/kWh, respectively.
Transmission charge for the month was also hiked by P0.09/kWh due to higher ancillary service costs of the National Grid Corp. of the Philippines.
Generation and transmission charges are both pass-through rates to consumers, and Meralco stressed it does not earn from these.
The generation charge, as its name suggests, is for power generation costs, while the transmission charge is for expenses incurred for transmitting the power to households.
Aside from the pass-through rates, Meralco announced a P0.02/kWh increase in system loss charge for November. This rate, unlike the previous charges, goes to Meralco for the recovery of the cost of energy lost while being distributed or through theft.