Higher Meralco rates for July

Metro Manila, Philippines - After two successive rate reductions, customers of the Manila Electric Company (Meralco) would have to pay more this month as a result of a number of charges, the power distributor announced on Friday, July 11.

In an advisory, Meralco said it will carry out a P0.49 increase per kilowatt-hour (kWh), raising the overall rate to P12.64 per kwh.

This means, customers consuming 200 kWh may expect a P98 increase in their monthly bill.

The power distributor attributed the rate hike to higher generation charges, which went up by P0.34 this July. The generation charge is 55% of the total bill.

“Charges from power supply agreements and independent power producers increased by P0.4476 and P0.4992 per kWh, respectively, owing to higher fuel prices and weaker peso against the US dollar,” it said.

Also driving the hike was transmission charges, which Meralco said increased by P0.07per kWh “due to higher charges from the reserve market.” The transmission charge is 10% of the bill.

The power distributor’s franchise area covers parts of Pampanga and Bulacan, Metro Manila, and Calabarzon.