Meralco's generation charge drops for 4th straight month

Meralco customers will enjoy another reduction in their power bills following a drop in the generation charge this month.

Meralco Vice-President for Utility Economics Ivanna dela Pena said lower wet season rates of the National Power Corporation and the higher dispatch of the Independent Power Producers pulled down the generation charge by US$.0034 per kWh. Dela Pena said WESM prices also remained stable.

"We are sure that customers will welcome this development since a reduction in their electricity bills will mean more purchasing power at their disposal," dela Pena said.

Meralco’s generation charge has been on a downward trend starting May this year. The US$.0854 per kwh level that will be reflected in the August bills of Meralco customers represents a cumulative US$.0912 reduction from the April 2009 rate of US$.1046 per kwh. The generation charge this month is at its lowest level since November 2004. It will be recalled that NPC’s basic generation rate hike in Luzon of US$.0256 per kWh was reflected in the bills of Meralco’s customers starting November 2004.

"We have always maintained that whatever savings we incur from the cost of power we obtain from the power producers are passed on to our customers in the form of lower electricity bills. We try to obtain the optimal mix that will redound to the benefit of all Meralco customers," added Meralco External Communications Manager Joe R. Zaldarriaga.