Reduced generation charges seen in Visayas, Mindanao

Generation charges in Visayas and Mindanao are expected to decrease after the Energy Regulatory Commission (ERC) implemented a Secondary Price Cap (SPC), according to Department of Energy (DOE) Secretary Sharon Garin on Tuesday.

During a press briefing, Garin explained that the SPC lessened the Wholesale Electricity Spot Market (WESM) prices in Visayas and Mindanao.

“So P18.59 per kilowatt hour patungo sa, dahil nag price cap sa ERC na regional markets, magiging P8.47 per kilowatt hour. Halos 45% nalang po,” Garin said.

(So P18.59 per kilowatt hour going to, because of the ERC’s price cap in regional markets, will become P8.47 per kilowatt hour. It is just 45%.)

Meanwhile in Mindanao, it went down to P8.69 per kilowatt hour, or a reduction of 56%.

The Visayas Grid has faced increased pressure after several plants experienced malfunctions, with at least two others being under restoration.

“Mataas pa to kumpara sa before pa mangyari itong lahat, pero ang presyo na po na ito ay mahigit sa 50% na bawas po na kung ano tinetrade nila sa market ngayon,” Garin said.

(This is higher compared to what happened, but the price is more than a 50% decrease from what is being traded in the market now.) —VAL, GMA News