The average system-wide electricity spot market price in the Philippines dropped to its lowest level in seven months in September 2025, the Independent Electricity Market Operator of the Philippines (IEMOP) said Monday.
The decline was due to lower demand and higher supply, according to IEMOP. System-wide electricity rates for the billing period of Aug. 26 to Sept. 25, 2025, went down to P3.04 per kilowatt-hour (kWh) from P4.59 per kWh in the previous period.
The P1.55-per-kWh decline represented a 33.8-percent drop in system-wide prices during the period.
IEMOP corporate planning and communications manager Arjon Valencia said in a statement that system-wide average supply increased by 0.5 percent to 20,712 megawatts (MW) last month, while demand declined by 2.9 percent to 13,640 MW.
“This supply-demand level resulted in an increased margin of 5,194 MW, up from 4,578 MW in August 2025. Consequently, average market prices dropped to P3.04 per kWh, down from P4.59 per kWh in the prior month—the lowest in the last seven months,” Valencia said.
He said the increased margin compared to the previous billing month led to the lower prices, adding there were no major plant outages affecting the September billing period.
Similar conditions of increasing supply and decreasing demand were observed across the country’s main regions, Valencia said.
In the Visayas, average prices decreased by P2.37 per kWh to P4.02 per kWh from P6.40 per kWh, despite a slight increase in power demand to 2,440 MW. Power flow from Mindanao to Visayas was reduced.
“While Visayas experienced an earthquake on Sept. 30 that caused multiple tripping of transmission lines and generators, this will be settled as part of the October 2025 billing period,” Valencia said.
Mindanao also saw prices decline by P2.47 per kWh, with average spot market electricity prices reaching P4.19 per kWh in September from P6.66 per kWh. Mindanao demand was 2,100 MW compared to an available supply of 3,592 MW.
In terms of the system-wide generation mix, Valencia reported that renewable energy (RE) contributed 26 percent of total generation.
Coal increased its share to 55.1 percent from 50.6 percent. Hydro generation continued its upward trend, rising from 12.6 percent to 13.5 percent due to a rainy season intensified by a typhoon.
The share of natural gas and oil-based generation decreased, with natural gas dropping from 22 percent to 17 percent, and oil-based generation decreasing from 0.9 percent to 0.5 percent. Solar and geothermal generation also slightly decreased their share.
Valencia added that there was a significant increase of 214.3 MW in WESM registered capacities, which rose to 29,889 MW.
