Power retailer Manila Electric Co. said Tuesday retail rates in the first nine months marked their lowest level in years.
“In fact, at around P8 per kilowatt-hour, it has already gone down by almost P1 per kwh on a year-to-date comparison. The generation charge on the other hand has dropped by 17 percent during the same period last year as a result of our newly implemented power supply agreements which took effect last year,” Meralco spokesman Joe Zaldarriaga said.
Meralco’s average retail rate in the first nine months was at P8.04 per kWh, or P0.96 per kWh lower than the same period in 2019.
It said the average generation charge in the same period was also lower as a result of the implementation of the power supply agreements which were concluded under the competitive selection process, the force majeure claims of Meralco against power suppliers which totaled P2.4 billion as of end-September, lower Wholesale Electricity Spot Market prices, the appreciation of the Philippine peso against the US dollar and lower fuel prices.
“All our supply agreements, including the rates therein, have undergone public hearings participated in by various groups. It is duly and legally approved by the regulator and has fully complied with lawful requirements,” Zaldarriaga said,
He said Meralco’s pass-through charges also undergo confirmation hearings by the Energy Regulatory Commission.