The average price of electricity in the Wholesale Electricity Spot Market (WESM) dropped by 11.2 percent to ₱4.01 per kilowatt-hour (kWh) in May, offering relief to commercial and residential consumers amid steady demand growth, according to the Independent Electricity Market Operator of the Philippines (IEMOP).
IEMOP reported Tuesday that the nationwide price decline from ₱4.52 per kWh in April was largely due to a 4.1 percent increase in power supply, which outpaced the 2.9 percent rise in demand during the 1 to 25 May billing period.
The decrease in rates is expected to lower electricity costs for corporate and commercial users who source power directly or indirectly from WESM, potentially improving operating margins in energy-intensive industries.
Regionally, Luzon saw a 7.9 percent rate cut to ₱4.23/kWh, while Visayas posted a sharper 17.9 percent decline to ₱3.71/kWh. Mindanao registered the steepest drop at 24.3 percent to ₱3.11/kWh, buoyed by higher supply and slightly lower demand.
IEMOP corporate planning and communications manager Arjon Valencia noted that coal remained dominant in May’s generation mix with a 59.9 percent share, followed by renewable energy at 22 percent and natural gas at 17 percent.
The latest WESM data excludes transactions beyond May 25, as the billing period closes prior to month-end.
