Wholesale electricity prices across the Philippines climbed 18.4 percent in October from September levels, according to the Independent Electricity Market Operator of the Philippines (IEMOP). The price of electricity at the Wholesale Electricity Spot Market (WESM) averaged P8.79 per kilowatt-hour (kWh) as of October 25, up from P7.43 per kWh the previous month. These October figures serve as the basis for spot-market electricity costs that will show up in bills this November.
Nationwide, power demand rose 4.3 percent to 14,793 megawatts (MW), while supply grew at a slower pace of just 1.4 percent to 20,493 MW. IEMOP noted that the combination of stronger demand and limited supply growth pushed overall prices higher, though regional trends varied widely.
Luzon saw the sharpest increase, with average prices jumping 51.2 percent to P7.83 per kWh from September’s P5.18. Demand in the island rose 6.9 percent to 10,580 MW, while supply actually edged down slightly by 0.9 percent. In contrast, Visayas prices fell nearly 10 percent to P11.19 per kWh, helped by an 8.7 percent rise in supply and a small dip in demand. Mindanao also recorded lower prices, down 12.3 percent to P11.06 per kWh, supported by an 8.1 percent increase in available power and lower consumption.
IEMOP Vice President for Trading Operations Isidro Cacho Jr. explained that while demand grew nationwide, supply constraints particularly in some areas drove up prices in Luzon, even as Visayas and Mindanao saw cost reductions. He added that regional price caps set by the regulator helped keep sudden, extreme price swings in check throughout the period. It is also worth noting that the data covers trading up to October 25, since the WESM billing cycle does not follow the full calendar month.
These spot market trends carry real-world weight for both businesses and households. Distribution utilities and electric cooperatives use WESM prices when calculating their own supply costs, so movements in these rates eventually flow through to the electricity bills paid by consumers across the country.
