Meralco power rates down in May

RESIDENTIAL CUSTOMERS of Manila Electric Co. (Meralco) could get some relief this month as the power distributor announced a decline in electricity rates for May, driven by lower generation and transmission charges.

-  - Sheldeen Joy Talavera

Following three months of hikes, the overall rate for May is set to decrease by P0.7499 per kilowatt-hour (kWh) to P12.2628 per kWh from P13.0127 per kWh in April, Meralco said in a statement on Tuesday.

This will translate to a downward adjustment of around P150 in the total electricity bill of customers consuming 200 kWh. Those consuming 300 kWh, 400 kWh, and 500 kWh will see reductions of P225, P300, and P375, respectively.

"The reduction in charges is due to lower generation and transmission costs, which we can see have decreased quite significantly," Joe R. Zaldarriaga, Meralco vice-president and head of corporate communications, said partly in Filipino.

Generation charges, which cover the cost of power purchased from suppliers, decreased by P0.3144 per kWh to P7.4651 per kWh this month, primarily due to lower charges from the Wholesale Electricity Spot Market (WESM) and independent power producers (IPPs).

WESM charges went down by P1.1424 per kWh amid the improved supply situation in the Luzon grid, Meralco said.