Meralco customers will see lower electricity bills this December after the power distributor announced a rate cut of P0.3557 per kilowatt-hour (kWh). This brings the overall rate down to P13.1145/kWh from P13.4702/kWh, or about P71 in savings for households using 200 kWh a month.
According to Meralco, the reduction is mainly due to lower transmission and generation charges. The transmission charge fell by P0.1462/kWh, helped by lower ancillary service costs, while the generation charge dropped by P0.1358/kWh due to cheaper Independent Power Producer (IPP) rates. IPP charges decreased as natural gas prices went down, plant operations improved, and the peso strengthened against the US dollar.
However, charges from Power Supply Agreements (PSAs) and the Wholesale Electricity Spot Market (WESM) increased slightly because of plant maintenance and smaller bill adjustments.
Taxes and other charges posted a net reduction of P0.0737/kWh. Meralco emphasized that it only earns from distribution, supply, and metering charges, which remain unchanged at P1.3522/kWh, and noted that customers continue to receive a distribution-related refund of P0.2024/kWh.
For December’s supply mix, 73 percent came from PSAs, 21 percent from IPPs, and 6 percent from WESM.
Meralco serves Metro Manila and parts of Bulacan, Cavite, Rizal, Batangas, Laguna, Quezon, and Pampanga.
Also, with Christmas approaching, Meralco urged customers to practice electrical safety—unplug lights when not in use, inspect old Christmas lights for damage, avoid using nails or staples that could pierce wiring, and prevent overloading outlets. The company also reminded households to keep a fire extinguisher ready. Meralco crews will remain on standby throughout the holidays.
