Meralco: Power rates to rise P0.66/kWh in March

Customers of the Manila Electric Co. (Meralco) will get higher electricity bills for this month after the Energy Regulatory Commission (ERC) approved the an application to pass on to consumers the higher fuel cost as a result of the 20-day maintenance shutdown of the Malampaya gas-to-power facility.

According to Meralco, the rate for residential customers will go up by P0.66 per kilowatt-hour, bringing the overall rate to P9.67/kWh from P9/kWh in February.

For a typical household consuming 200kWh, the increase translates to P132 for March.

The power utility attributed the rate increase this month to the upward movement in the generation charge, caused mainly by the Malampaya maintenance shutdown, which took place from January 28 to February 16.

"'Yung rates po ay lower than expected. As we initially estimated P0.92/kWh, naging P0.66 in terms of incremental fuel cost. Hahatiin po 'yan sa tatlong billings," Meralco spokesperson Joe Zaldarriaga told reporters in a press briefing in Taguig City, noting such rate of increase will ease the burden on consumers.

This means that the additional amount brought by the Malampaya shutdown for the March billing will be P0.22, with the overall generation charge up P0.58/kWh to P4.90.

"Doon po sa P0.66 na adjustment, P0.58, dahil sa generation charge at nakapaloob na doon 'yung one-third (P0.22) amortization ng liquid fuel cost," Meralco Utility and Economics Head Larry Fernandez noted.

"Tapos 'yung 9 centavos ... dahil sa corresponding adjustments sa taxes and other charges. Ito po ay partially offset ng one centavo reduction sa transmission charge," Fernandez added. — VDS, GMA News