Reserve market billing to raise 2025 power rates

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The Energy Regulatory Commission (ERC) approved the collection of P3.05 billion from consumers to cover 70 percent of uncollected payments in the

The Energy Regulatory Commission approved the collection of P3.05 billion from consumers to cover 70 percent of uncollected payments in the ancillary reserve market. This is expected to result in higher electricity prices.

The collection will start in January 2025. The decision follows the ERC’s review of the Independent Electricity Market Operator of the Philippines’ recalculation of reserve trading amounts for February and March 2024. The ERC lifted the suspension on July 26, 2024, and allowed the resumption of full operations of reserve trading. The commission directed IEMOP to recalculate the reserve trading amounts for February and March 2024 and adjust the value for the remaining 70 percent of the March billing month.

It also issued 3,959 certificates of compliance and 334 provisional authorities to operate from January to November 2024, to enhance grid security and ensure affordable electricity rates. These facilities account for 24,092.79 megawatts of supply to the grid.

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