MORE Electric and Power Corp announced a reduction in its electricity rates for December by P0.5081 per kilowatt hour (kWh) from the previous month.
The Razon-led utility cited a decline in power demand and lower wholesale prices as the primary drivers for the adjustment.
The average residential rate for the month is now P11.3477 per kWh. Commercial rates also saw a decrease to P10.6661 per kWh from P11.1741 per kWh in November.
The company said in a statement the drop in electricity demand increased the supply margin and helped lower the average Wholesale Electricity Spot Market (WESM) rate.
Despite brief power plant outages during recent typhoons, the utility noted that the immediate restoration of facilities and reduced consumption prevented major market disruptions.
Transmission charges also fell to P1.7918 per kWh from P1.8612 per kWh last month, following a decrease in regulated charges and ancillary services from the reserve market.
The company reported that distribution, supply and metering charges remained unchanged. However, the system loss rate dropped to P0.4086 per kWh from P0.4512 per kWh, a result of lower overall generation and transmission costs.
MORE Power chief operating officer JM Zaporteza said that while generation and transmission charges are pass-through costs, the utility continues to source the lowest-priced electricity available at any given time.
The rate reduction provides financial relief for consumers in Iloilo during the holiday season.
