The Energy Regulatory Commission (ERC) continues to implement measures aimed at easing the impact of rising electricity costs on consumers amid global fuel price increases and power supply challenges.
The ERC has acknowledged the proposed mitigating measures of the Manila Electric Company (Meralco) to help reduce the expected increase in electricity rates for the May 2026 billing period.
Based on Meralco’s submission to the Commission, the increase in generation charges was initially projected at around P1.0277 per kilowatt-hour (kWh).
This was mainly attributed to higher electricity supply costs, rising fuel prices in the global market, and the continued weakening of the Philippine Peso against the US Dollar amid geopolitical tensions in the Middle East.
To help ease the impact on consumers, Meralco proposed the earlier implementation of adjustments under its ERC-approved Power Supply Agreements (PSAs). This mechanism allows certain cost adjustments from power suppliers to be reflected immediately, thereby reducing the amount charged to consumers for May 2026.
According to Meralco, this measure may lower the projected increase in generation charges from P1.0277/kWh to around P0.4350/kWh.
The ERC noted the proposal and raised no objection, subject to verification, review, and submission of complete supporting documents and reportorial requirements.
ERC Chairperson and CEO Atty. Francis Saturnino Juan said the Commission continues to seek practical and lawful measures to protect consumers from sudden increases in electricity rates.
“The ERC continues to work closely with distribution utilities and other industry stakeholders to identify measures that can help reduce the impact on consumers.”
“We understand the burden that rising electricity prices bring to Filipino households, especially during periods of global uncertainty and increasing fuel costs. The ERC continues to work closely with distribution utilities and other industry stakeholders to identify measures that can help reduce the impact on consumers,” Juan said.
“While some costs are driven by international fuel prices and market conditions beyond domestic control, the ERC remains committed to ensuring that all charges passed on to consumers are properly reviewed, transparent, and reasonable. We will continue to pursue timely interventions that balance consumer protection, reliable electricity service, and energy security,” he added.
“The ERC has strengthened its monitoring and oversight of electricity rates, particularly during periods of significant price increases.”
Juan also emphasized that the ERC has strengthened its monitoring and oversight of electricity rates, particularly during periods of significant price increases. Distribution utilities experiencing substantial increases in generation charges are required to submit detailed reports and supporting documents for prompt evaluation of possible mitigating measures.
As global energy conditions continue to influence electricity prices worldwide, the ERC reaffirmed its commitment to safeguarding consumer welfare while ensuring stable, reliable, and sufficient power supply for the country.
