Electricity rates for Meralco customers are expected to drop by an average of ₱0.36 per kilowatt-hour (kWh) starting September 2026, thanks to a new local natural gas agreement.
Prime Energy, operator of the Malampaya gas field, has signed an interim deal with South Premiere Power Corp. (SPPC) to supply indigenous natural gas to the 1,200-megawatt Ilijan power plant in Batangas. Running from September 1, 2026, to February 25, 2027, the arrangement lowers power generation costs by replacing pricier imported fuels with local gas.
Beyond providing cheaper and more reliable electricity to Luzon households and businesses, the deal supports national energy security. The Philippine government receives 60 percent of Malampaya’s net revenues, a project that has contributed over US$14 billion to state coffers over the past two decades.
