Electricity rates in the Meralco franchise area are poised for an increase this August 2025, the utility announced ahead of its official rate adjustment. The expected hike is primarily attributed to rising generation and transmission charges, which are likely to impact both households and businesses.
Meralco vice president and corporate communications head Joe Zaldarriaga cited the depreciation of the Philippine peso to its weakest level this year as a key factor, affecting dollar-denominated costs from Independent Power Producers and Power Supply Agreements. Higher prices at the Wholesale Electricity Spot Market (WESM), as reported by the Independent Electricity Market Operator of the Philippines (IEMOP), are also seen to contribute.
Transmission charges are set to rise as well, following the Energy Regulatory Commission’s approval of the National Grid Corporation of the Philippines’ (NGCP) cost recovery implementation, starting in the August billing cycle.
Meralco is expected to release official figures today, August 11. In July, the utility raised rates by P0.4883 per kilowatt hour (kWh), translating to an additional P98 for a typical household using 200 kWh monthly. The overall rate then reached P12.6435 per kWh.
IEMOP data showed WESM prices rose by 3.4 percent in July due to reduced power supply from both scheduled and unplanned plant outages, amid a 5 percent drop in demand.
Meralco supplies electricity to Metro Manila and key parts of Central and Southern Luzon.
