Geline Salac

Electricity prices to go up higher than usual due to oil price spike

Electrical meters with countless electrical wires hanging near residences in Barangay Addition Hills, Mandaluyong City on February 19, 2019. George Calvelo, ABS-CBN News

Article (news)

David Dizon

ABS-CBN News

More bad news, Kapamilya.Electricity rates are expected to go up higher than usual during this year’s hot season after the Middle East conflict led to a massive jump in oil prices, the Energy Regulatory Commission said Friday.ERC chairperson Francis Saturnino Juan said increased shipping costs for oil, coal and natural gas, which are used for the country’s power plants, are expected to drive up electricity prices.“Inaasahan natin na baka ngayong taong ito dahil sa nangyayaring giyera diyan sa Middle East, mas magiging mataas ang itataas [ng kuryente] nitong summer months,” Juan said, noting that increased demand always increases power rates.Computations of the Independent Electricity Market Operator of the Philippines, which operates the Wholesale Electricity Spot Market, showed the increase could range from P2 to P4 per kilowatt-hour.The increased electricity rates could be reflected as early as April, Juan said. “Kung halimbawa piso ang itataas per kWh, sa 200 kWh na makokonsumo mo, pumapatak na P200 ang itataas ng iyong bill. Maaaring may iba pang tumaas na component dahil may iba pang serbisyo na ginagamitan din ng generation tulad ng ancillaries, pero maliit na bahagi yan at sa kabuuan asahan natin na magkakaroon ng pagtaas. Ang makokontrol natin ay yung konsumo natin,” Juan said.He added that distribution facilities may need to implement staggered power rate increases If the price hike is too high.Juan noted there could be a suspension of the WESM if there is not enough power in the national grid during the summer months.The WESM, created by virtue of Section 30 of Republic Act No. 9136, is a venue for trading electricity as a commodity where the power generators sell their excess capacities not covered by contracts and where the customers buy additional capacities on top of their contracts.In the interview, Juan said consumers could also look at installing solar panels on their rooftops to save on electricity bills. “Baka makadagdag pa sila sa supply para sa iba,” he said.

More bad news, Kapamilya. Electricity rates are expected to go up higher than usual during this year’s hot season after the Middle East conflict led to a massive jump in oil prices, the Energy Regulatory Commission said Friday.

More bad news, Kapamilya. Electricity rates are expected to go up higher than usual during this year’s hot season after the Middle East conflict led to a massive jump in oil prices, the Energy Regulatory Commission said Friday.