Customers of Manila Electric Co. (Meralco) have another reason to be merry this Christmas season after it announced another cut in its electricity rates for December.
These rates would be reduced by P0.0352 per kilowatt hour (kWh) to P8.4753/kWh from P8.5105/kWh in November.
As a result, households that consume 200 kWh will see a decrease of P7.04 in their December bill; those that consume 300 kWh, P10.56; those consuming 400 kWh, P14.08; and those consuming 500 kWh, P17.60.
This was the second lowest overall power rate it recorded in more than three years, or since September 2017, Meralco said in a statement on Wednesday.
“This month’s overall rate is also a net rate reduction of P1.3870/kWh, equivalent to [a] bill reduction of more than P277 for a 200 kWh household, since the start of the year,” it added.
During this month, the generation charge dropped by P0.0502/kWh to P4.1516/kWh from November’s P4.2018/kWh.
“All sources of supply registered lower charges this month,” Meralco said.
According to the power firm, there was a decrease of P0.1881/kWh in charges from the Wholesale Electricity Spot Market (WESM).
“The Luzon grid’s power supply situation improved in November following a drop in demand, which decreased due to successive weather disturbances,” it added, referring to the series of typhoons that struck Luzon recently and disrupted electricity services.
Power demand within Meralco’s franchise area peaked at 9,886 megawatts (MW) last month, lower than October’s peak demand of 10,344 MW.
Also, the Energy Regulatory Commission (ERC) suspended trading at the WESM from November 12 to 13 due to the impact of Typhoon “Ulysses” (international name: Vamco)
The cost of power from independent power producers (IPPs) also fell by P0.2577/kWh because of the improved average plant dispatch and appreciation of the peso.
Charges from power supply agreements (PSAs) dropped by P0.0214/kWh with the peso’s strengthening.
The transmission charge for residential customers slightly decreased by P0.0044/kWh due to lower power delivery and ancillary service charges. But taxes and other charges increased by P0.0194/kWh.
The collection of the universal charge-environmental charge amounting to P0.0025/kWh remains suspended, as directed by the regulatory agency.
Meralco’s distribution, supply and metering charges remain unchanged for 65 months, or since July 2015.