Latest news with #WholesaleElectricitySpotMarket
GMA Network
18-07-2025
- Business
- GMA Network
Outgoing ERC chief sees ‘more room' to lower power rates
Outgoing Energy Regulatory Commission (ERC) chairman and chief executive officer Monalisa Dimalanta said 'I believe we can still lower electricity rates further throughout the country as we continue to conduct our fuel audits for electric cooperatives and distribution utilities.' Outgoing Energy Regulatory Commission (ERC) chairman and chief executive officer Monalisa Dimalanta, whose term ends on August 8, on Friday said more work needs to be done in the country's electricity sector as she sees more room for costs to be lowered for the benefit of consumers. In an online press chat, Dimalanta was asked what legacy she will be leaving behind as chief of the power industry regulator. 'Starting January 2023, the generation charge to customers in the WESM (Wholesale Electricity Spot Market) was trending lower. This year, from January until May, we saw a significant lowering of rates in most regions in the country, except Region 2… as more energy projects came in. This has been the lowest generation rate in the last 10 years,' she said. Data from the ERC showed that between January and May this year, the overall reduction in the average generation cost at P2.4 per kilowatt-hour corresponded with the decrease in the country-wide average electricity price also at P2.4 per kWh. 'I think the legacy I'm leaving is a state of a better market condition, but improvements are still needed," Dimalanta said. The outgoing ERC chief added that 'I believe we can still lower electricity rates further throughout the country as we continue to conduct our fuel audits for electric cooperatives and distribution utilities.' Dimalanta was referring to the show cause orders the ERC issued to 37 generation companies to explain their failure to comply with its directive to submit complete fuel purchase documents. The submission of fuel purchase documents was necessary in validating the reasonableness of generation charges being passed on to consumers. Dimalanta said that once the fuel purchase audit among nearly 40 generation firms is finished, consumers could expect a refund or lowering of electricity rates. 'There is more room for lowering of the rates if everybody is disciplined in following our respective mandates,' she said. The outgoing ERC chief said the regulator is targeting to finish the fuel purchase audit 'by the end of the year.' Dimalanta is also optimistic on the Retail Aggregation Program (RAP). Under RAP, two or more electricity end-users within a contiguous area — or within the same boundaries in which electricity supply can be measured with metering devices — to combine into a single 'contestable customer' allowing them to choose their own electricity supplier to ensure transparent and reasonable pricing. 'I hope this is something that will really become widespread,' Dimalanta said. 'EPIRA mandated that this happens, that this power to choose should be realized,' she said. Dimalanta resigned as chairperson of the ERC, cutting short her seven-year tenure, in relation to President Ferdinand Marcos Jr.'s post-midterm polls executive revamp. She will be replaced by Atty. Francis Saturnino Juan, who previously served as executive director and general counsel of the ERC and currently as President of the Independent Electricity Market Operator of the Philippines. — BAP, GMA Integrated News
GMA Network
26-06-2025
- Business
- GMA Network
Razon-led Prime Electric's More, Negros Power, Bohol Light slash power rates
Tycoon Enrique Razon Jr.'s Prime Electric Holdings Inc. (PHI), through its utility units—More Power in Iloilo City, Negros Power in Central Negros, and Bohol Light in Bohol—has implemented a significant reductions for its power rates this month. In a new release on Thursday, customers of Bohol Light would expect a 75-centavo rollback per kilowatt-hour (kWh) in their bills, which would translate to a P150 in savings for an average household consuming 200 kWh. In Iloilo City, customers of More Electric and Power Corporation would enjoy a rate decrease of 61 centavos per kWh, resulting in an estimated P122 bill reduction for those who are consuming 200 kWh. Meanwhile, customers in Central Negros would look forward to a 55-centavo per kWh cut, lowering the residential electricity rate from P11.69 to P11.14 per kWh. For Central Negros households using 200 kWh monthly, this would mean a P110 in savings, according to PHI. PHI said the total rate reduction for its three distribution utilities stood at P1.91, on the back of 'several favorable economic factors,' including lower costs in the Wholesale Electricity Spot Market and decreased transmission charges. The rate reductions position the three utilities among the most affordable electricity providers in the Visayas region, according to the company. Roel Castro, president and CEO of PHI, said that the company remains committed to delivering affordability and reliability, ensuring that every peso saved on electricity goes toward improving the lives of the communities they serve. "Our goal is to pass these savings directly to consumers, helping families allocate funds toward essentials like food, education, and other vital needs," said Castro. PHI said it continues to prioritize infrastructure upgrades, system loss reduction programs, and smart market participation strategies to sustain low rates while enhancing service quality. — Ted Cordero/BM, GMA Integrated News
