From restoring power supply to extending assistance to those affected by storms and the southwest monsoon, Meralco has remained tireless in delivering service to the communities it serves. (Meralco Newsroom)
The Manila Electric Company (Meralco) announced an adjustment in electricity rates this August due to higher generation and transmission costs from external suppliers and the national grid operator. The overall rate for a typical household will be P13.2703 per kWh, up from last month’s P12.6435 per kWh. For residential customers using 200 kWh, this translates to an increase of about P125 in their monthly bill.
Meralco explained that this change is driven mainly by pass-through charges—amounts collected by Meralco and fully remitted to power suppliers, the grid operator, and the government—while its own distribution charge remains unchanged.
Why the generation charge went up
The generation charge rose by P0.3749 per kWh due to higher costs from Independent Power Producers (IPPs) and the Wholesale Electricity Spot Market (WESM).
- IPP charges increased by P0.9476 per kWh because of the nearly P2 depreciation of the peso against the US dollar and scheduled maintenance work on major gas plants—First Gas-Sta. Rita and First Gas-San Lorenzo—which briefly lowered supply.
- WESM charges were also up by P0.4582 per kWh, largely due to additional outages in the Luzon grid.
- These increases were partly offset by a P0.2604 per kWh drop in Power Supply Agreement (PSA) charges, thanks to lower coal and LNG prices as well as better plant performance.
For this period, PSAs supplied 68% of Meralco’s energy needs, with IPPs contributing 25% and WESM 7%.
Transmission and other charges
The transmission charge rose by P0.1270 per kWh following the implementation of the National Grid Corporation of the Philippines’ higher Maximum Allowable Revenue (MAR) and collection of approved under-recoveries from 2016 to 2022. Other charges, including taxes, posted a combined increase of P0.1249 per kWh.
Meralco emphasized that while these pass-through charges fluctuate due to external factors, its own distribution charge for residential customers has stayed the same since it was lowered in August 2022. Customers also continue to enjoy a distribution-related true-up adjustment that effectively reduces bills by P0.2024 per kWh.
Protecting customers from scams and power theft
Beyond supplying electricity, Meralco is doubling down on customer safety. The company warned against a scam text message claiming customers are entitled to refunds via e-wallet links—a phishing attempt designed to steal personal and financial information.
“Meralco will never request your e-wallet details or process refunds through text messages,” said Meralco Vice President and Head of Corporate Communications Joe R. Zaldarriaga. “Any legitimate refund is automatically credited to your electricity bill.”
The company also reiterated its call for the public to help stop electricity theft and pilferage of power facilities, which can cause accidents, power interruptions, and legal consequences under the Anti-Electricity Pilferage Act.
Staying Connected and Informed
Customers can report scams, suspicious activities, or service concerns through the My Meralco app, via Meralco’s official social media accounts on Facebook (www.facebook.com/meralco) and X (@meralco), by texting 0920-9716211 or 0917-5516211, or by calling the Meralco Hotline at 16211.
With distribution charges kept steady, a commitment to customer safety, and round-the-clock service channels, Meralco continues to focus on delivering reliable power while protecting and informing its customers.