Meralco reduces September electricity rates by P0.1852 per kWh

Meralco announced a decrease in electricity rates for September by P0.1852 per kilowatt-hour (kWh), bringing the overall rate to P13.0851 per kWh.

This reduction ends two consecutive months of rate hikes and is attributed to lower generation charges from power supply agreements (PSAs) and independent power producers (IPPs).

Charges from IPPs and PSAs went down by P1.3459 and P0.3660 per kWh, respectively, due to the appreciation of the local currency against the US dollar and a decrease in international fuel prices.

The stronger peso affected around 99% of IPP costs and 57% of PSA costs that were dollar-denominated.

While the generation charge fell, the transmission charge rose due to increased ancillary service costs.

Typical households consuming 200 kWh can expect a P37 reduction in their September bill, with larger consumption levels also seeing proportional decreases.

Meralco spokesman Joe Zaldarriaga expressed hope that the rate cut will bring relief to customers.