GOOD NEWS FOR CONSUMERS. Meralco Vice President and Head of Corporate Communications Joe R. Zaldarriaga brings good news to customers with the announcement of lower power rates this May 2025.
Electricity users can expect some financial relief this May as the Manila Electric Company (Meralco), led by Manuel V. Pangilinan, announced a significant reduction of P0.75 per kilowatt-hour (kWh) in electricity rates.
This brings the overall rate down to P12.26 per kWh, a drop from P13.01 per kWh in April.
For households consuming 200 kWh, the decrease translates to P150 in savings. Those using 300 kWh, 400 kWh, and 500 kWh will see reductions of P225, P300, and P375, respectively, on their electricity bills.
Meralco customers are set to benefit from decreased electricity rates, offering a welcome reprieve during the dry season when power usage usually spikes.
Key drivers of the rate reduction
According to Meralco Vice President and Head of Corporate Communications Joe R. Zaldarriaga, the decrease in electricity rates is mainly due to lower generation and transmission charges.
“With power consumption typically increasing during the dry season, we hope that our customers will benefit from the lower electricity rate this month. Rest assured that Meralco continues to be committed to delivering reliable, stable, and continuous electricity service at the least cost possible,” said Zaldarriaga.
Breakdown of cost reductions:
- Generation Charge dropped by P0.31 per kWh, now at P7.47 per kWh:
- Wholesale Electricity Spot Market (WESM) rates fell by P1.14 per kWh due to improved supply conditions in the Luzon Grid.
- Independent Power Producers (IPPs) saw a P0.96 per kWh decrease, helped by higher IPP dispatch and the strengthening of the Philippine Peso to its highest level since December 2023. Around 97% of IPP costs are dollar-denominated.
- A P0.19 per kWh increase in Power Supply Agreement (PSA) charges was offset by lower PSA dispatch and the stronger peso, which affects 56% of dollar-based PSA costs.
- The energy mix for the period:
- WESM: 26%
- IPPs: 33%
- PSAs: 41%
- Transmission Charge for residential customers fell by P0.2970 per kWh.
- Other Charges (including taxes) registered a net decrease of P0.1385 per kWh.
It’s important to note that generation and transmission charges are pass-through costs paid by Meralco to power suppliers and the grid operator, while taxes and other charges are remitted to the government.
Meanwhile, Meralco’s distribution charge remains unchanged since its reduction of P0.0360 per kWh in August 2022. Customers also continue to benefit from an ongoing distribution-related refund equivalent to about P0.20 per kWh.
POWERING THE ELECTIONS. Nearly 3,000 Meralco crews and personnel were deployed in strategic locations to ensure the delivery of stable and reliable electricity service during the May 12 elections. Seen in the photo are Meralco crews deployed at the COMELEC warehouse in Biñan City, Laguna.
Reliable power during the elections
Meralco also ensured uninterrupted power during the May 12 midterm elections, with nearly 3,000 crews and personnel deployed across key areas. Support equipment included over 160 generator sets and 470 floodlights.
Zaldarriaga confirmed that electricity supply to over 3,000 polling and canvassing centers was generally stable, with only minor issues quickly addressed. Preparations began months in advance, including inspection and maintenance of schools used as polling precincts and coordination with government agencies such as the Commission on Elections and the Department of Energy.
Meralco urges energy efficiency amid dry season
Despite the rate cut, Meralco encourages customers to continue practicing energy efficiency to better manage consumption during the ongoing dry season.
“While electricity rates went down this month, we would like to remind our customers to continue practicing energy efficiency to have better control over their electricity bills,” said Zaldarriaga.
Practical energy-saving tips include:
- Cleaning air conditioner filters and electric fan blades regularly
- Ironing clothes in batches
- Avoiding overfilling refrigerators
- Switching to energy-efficient LED lighting
Customers can also use the Meralco Appliance Calculator to estimate the energy usage and cost of household appliances and devices.