Manila: Lower ancillary service charges and taxes have countered the increase in generation charges for Manila Electric Company (Meralco), leading to another reduction in power rates this September.
According to Philippines News Agency, the Pangilinan-led distribution utility announced in a news release that its rates decreased by PHP0.0409 per kilowatt-hour (kWh), adjusting from PHP14.7833 per kWh in August to PHP14.7424 per kWh in September.
Meralco vice president and head of corporate communications, Joe Zaldarriaga, stated, "For residential customers of Meralco who are consuming 200 kWh, this adjustment translates to a reduction of around PHP8 in the total electricity bill." He added that this follows a rate decrease implemented last month, expressing hope that it would provide some relief to customers.
The distribution utility identified that ancillary service charges reduced due to lower rates from the reserve market. Additionally, taxes and other charges decreased following the completion of the Malampaya gas facility's maintenance shutdown, which allowed the First Gas/Prime CoreGen plants to fully utilize indigenous natural gas exempt from value-added tax (VAT).
Meralco also highlighted that its customers are benefiting from two regulatory-mandated refunds, totaling PHP1.0139/kWh.
