The Manila Electric Company (Meralco) announced a rate reduction of around ₱0.36 per kilowatt-hour for December, reversing two consecutive monthly increases.
The adjustment lowers the overall residential rate to ₱13.1145 per kWh, down from ₱13.4702 per kWh, providing an estimated ₱71 decrease in the monthly bill of households consuming 200 kWh.
Meralco said the drop is driven primarily by lower transmission and generation charges. The generation charge declined by ₱0.1358 per kWh due to reduced costs from Independent Power Producers, attributed to lower natural gas prices, improved plant dispatch, and peso appreciation.
IPP rates fell by ₱0.2127 per kWh, though charges under Power Supply Agreements and the Wholesale Electricity Spot Market increased by ₱0.0706 and ₱0.8086 per kWh, respectively.
“This month’s transmission charge dropped by ₱0.1462 per kWh for residential customers due to lower ancillary service charges from the Reserve Market incurred by the National Grid Corporation of the Philippines (NGCP),” the company said. It added that “taxes and other charges similarly registered a ₱0.0737 per kWh net reduction.”
Meralco distributes power across Metro Manila, CALABARZON, Bulacan, and Pampanga.