“Energy consumption matters both to our environment and our economy.” – John Baldacci
MORE Power announces rate increase in its July billing cycle. This follows the “artificially low rates” in June due to the deferred Wholesale Electricity Spot Market (WESM) charges as mandated by the Energy Regulatory Commission (ERC) Order dated June 13, 2024.
The consumers will expect an average residential rate of P12.8566 per kWh in July, primarily due to the increase in the generation charge. Generation rate is up by P3.5739 from the previous rate of P3.9833 in June to P7.5572 this month.
“Last month’s rates were supposed to be just slightly higher than May,” said NEIL PARCON, MORE Power’s Vice President for Corporate Energy Sourcing and Regulatory Affairs (CESRA). “However, MORE Power reduced its rate by P2.5514 per kWh, resulting in a rate of P8.7749 per kWh, following the ERC’s order to postpone the collection of WESM charges.”
This deferment aimed to mitigate the financial impact on consumers amid the series of Red and Yellow alerts in the Luzon and Visayas Grids. The MORE Power executive also noted “that the increase in July was anticipated due to higher generation charges.”
Furthermore, he explained that without the deferment, MORE Power’s residential rate in June would have been P11.8642 per kWh, a slight increase from May’s rate of P11.3263 per kWh. “Our average residential rate could have dropped to P11.6625 per kWh in the July billing cycle without the deferment,” Parcon added.
It is important to emphasize that MORE Power’s Distribution, Supply, and Metering charges remain unchanged at P2.3376 per kWh. This portion of the rate is the only amount that goes to the distribution utility.
Despite the increase in power rates this July, MORE Power remains to be one of the cheapest electric power distribution utilities in the Visayas, continuing to offer competitive rates to consumers in Iloilo City.