Iloilo City: Residential consumers in Iloilo City will experience a reduction in their electricity bills this June by approximately 60 centavos per kilowatt-hour (kWh), bringing the rate down to PHP10.52/kWh from PHP11.12/kWh in May.

According to Philippines News Agency, Joe-Mel Zaporteza, chief operating officer of More Electric and Power Corp., confirmed in an interview that this marks the second consecutive month of rate decreases. In the previous month, there was a 90 centavos decrease, totaling a reduction of PHP1.52 over the last two months for residential consumers.

Zaporteza attributed the lower rate to a decrease in generation costs due to reduced prices at the wholesale electricity spot market (WESM). The generation charges decreased by 40 centavos per kWh, with the average WESM price dropping to PHP3.70 per kWh from the prior PHP4.45 per kWh.

A power trading team at MORE Power monitors daily pricing and available generation in the market to ensure sourcing from the least-cost power options. Zaporteza assured consumers that they are consistently seeking the most affordable power available.

Additional factors contributing to the rate drop include a decrease in transmission charges due to lower Ancillary Services - Reserve Market costs and a system loss of only 5.73 percent, further reducing overall costs.

Roel Castro, president and chief executive officer of MORE Power, stated that the reduction is beneficial for ordinary families, especially with the start of the school year approaching. The savings translate to PHP122 for an average household consuming 200 kWh per month, which can be redirected to support children's schooling.

Castro emphasized the company's commitment to sourcing power at the lowest available rates and optimizing operations to deliver savings directly to consumers. Meanwhile, the commercial rate for June is set at PHP9.84 per kWh, down from PHP10.45 last month.