Power hike looms as ERC OKs collection of P3.05B unsettled reserve market fees

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Power Rate Hike News

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Power consumers in the Luzon, Visayas, and Mindanao grids are facing a possible increase in household electricity rates in 2025 after the Energy Regulatory Commission approved the collection of the remaining 70% contracted reserve or ancillary services requirements of the power system operator.In a statement on Thursday, the ERC said the total amount yet to be recovered from power consumers due to deferred payments to the power reserve market stood at P3.

The suspension was partially lifted in May, allowing power reserve generators to recover an initial P1.7 billion.The ERC also ordered the Independent Electricity Market Operator of the Philippines to recalculate the unpaid reserve trading amounts, which resulted in the adjusted value for the remaining portion that is yet to be recovered at P3.05 billion.With the remaining P3.05 billion to be collected, the ERC said the corresponding rate impact to consumers will be P0.

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