Meralco users can expect their power bills to increase by 46 centavos per kilowatt-hour (kWh) in May on the back of tightening electric supplies amid the El Niño phenomenon.
In a statement, the power distributor said electricity rates are rising from P10.9518 per kWh in April to P11.4139 per kWh in May; meaning, the residential users typically consuming 200 kWh would have to pay an extra P92 this month.
The Energy Regulatory Commission (ERC) has said that power rates may spike after the Red and Yellow Alerts were issued amid the recent power shortages.
Meralco is the sole electricity distributor in Metro Manila. It also serves the nearby provinces such as Bulacan, Cavite, Laguna, Batangas, Rizal, and Quezon.
The power distributor attributed the higher rates to the production costs, which increased by 44.55 centavos per kWh, due to higher prices in the Wholesale Electricity Spot Market (WESM) and Power Supply Agreements (PSAs).
There was also a net increase of 1.66 centavos per kWh in transmission charges, taxes, and other charges. However, Meralco said that its distribution charge, which has been 3.60 per kWh since August 2022, stayed the same.
Charges from WESM rose by P1.7913 per kWh, amid the tight supply conditions in the Luzon Grid in April after demand soared by 2,401 megawatts, prompting the National Grid Corporation of the Philippines (NGCP) to declare red and yellow alerts.
PSA charges also went up by 28.71 centavos per kWh due to lower excess energy deliveries of some PSAs which were priced at a discount. The Philippine Peso depreciation likewise affected the prices, which hit 14 percent of dollar-denominated PSA costs.
In the same advisory, Meralco asked the public to stay away from power lines as 40 kite-flying incidents caused power outages in the first quarter of this year, compared to 26 incidents in the same time period in 2023.
“We are appealing to our customers to refrain from flying kites and picking fruits near power lines since these can cause power interruptions and accidents,” Meralco vice president and head of Corporate Communications Joe Zaldarriaga said. (TCSP)
