Ex-Bayan Muna solon slams Meralco's rate hike amid summer heat

Manila Electric Company's (Meralco) power rate hike this month was described by Bayan Muna party-list second nominee Carlos Zarate as "unjustifiable."

“This is yet another heavy cross for consumers to bear, lalo pa sa panahon ng tag-init kung kailan mas mataas ang konsumo ng kuryente at mas hirap ang mga manggagawa’t maralita,” said Zarate on Tuesday.

(The increase comes at a time when there is a spike in electricity consumption and when the workers are enduring the heat.)

The statement comes after Meralco announced that it is adjusting the power rate by 72 centavos per kilowatt-hour (kWh) for April amid a significant jump in generation costs.

The power rate hike could translate to about a P144 increase in the monthly bill of a typical customer consuming 200 kWh.

Meralco said the generation charge drove the overall rate hike as it surged by P0.7278 per kWh, mainly on the back of higher costs from the Wholesale Electricity Spot Market (WESM).

Zarate, meanwhile, also expressed concerns over Meralco’s supposed "increasing" reliance on WESM.

“The use of WESM should be a last resort, not a regular source. Its role must be minimized to a maximum of 5% of the power mix. Otherwise, we are exposing consumers to the greed of energy traders and market manipulators,” Zarate said.

Based on Meralco’s data, 23% of its power supply in the latest period came from WESM. Those supplied by the Independent Power Producers reached 33%, while the Power Supply Agreements accounted for 44%.

Meralco also previously cited the hoisting of a yellow alert on the Luzon grid last March 5, which triggered the secondary price cap at 6.39% at that time, “indicating persistently high spot market prices during the period.” —VAL, GMA Integrated News