Transmission rates jump 7% in August

Consumers are seeing higher transmission rates this month due to increase in ancillary service (AS) rates, according to the National Grid Corporation of the Philippines (NGCP).

- GABRIELL CHRISTEL GALANG

In a briefing on Wednesday, Sept. 17, Julius Datingaling, NGCP head for revenue management department, announced that its transmission rate in August rose by 7.09 percent to P1.417 per kilowatt-hour (kWh).

This increase was due to the higher AS rates, which had gone up to P0.6659/kWh from P0.5872/kWh.

AS charges are pass-through costs for electricity supplied by generators during supply-demand imbalances.

According to NGCP, these charges are remitted to generation companies with which they have bilateral contracts, as well as to the Independent Electricity Market Operator of the Philippines (IEMOP) for ancillary services sourced from the Reserve Market.