Customers of the Manila Electric Company (MERALCO) may expect lower electricity bills this February, as it announced lower rates for the month.
In a statement, MERALCO said its overall rate is down to Php8.7497 per kilowatt hour (kWh), or Php0.0704/kWh less than the rate for January. This translates to a Php14 decrease for a typical household consuming 200 kWh per month.
The power giant mainly attributed the rate reduction to a lower generation charge of Php4.4152/kWh this February, or Php0.0422 less than that of the previous month.
Transmission charge for residential customers also went down by Php0.0128/kWh due to lower ancillary service charges, while taxes and other charges also posted a net decrease of Php0.0154/kWh.
Rates of independent power producers, however, went up by Php0.2103 per kWh with lower average plant dispatch, higher prices for natural gas from Malampaya, and the peso’s depreciation.
MERALCO added that rates in the Wholesale Electricity Spot Market increased during the month due to a higher average plant capacity on outage in the Luzon Grid.
The utility giant’s rate cut comes following an increase for January, as well as President Rodrigo Duterte’s directive to extend the no-disconnection policy for lifeline customers or those consuming up to 200 kWh monthly.