BUSINESS
Advocates Philippines
November Power Bills To Rise Slightly As Transmission, FIT Charges Increase
Photo credit: Meralco
Consumers can expect a slight uptick in their electricity bills this month as the Manila Electric Company (Meralco) announced a ₱0.1520 per kilowatt-hour (kWh) increase in overall rates for November.
This brings the total rate for a typical household to ₱13.4702 per kWh, up from ₱13.3182 per kWh in October. For residential users consuming 200 kWh, the adjustment means an additional ₱30 in their monthly bill.
What’s behind the hike?
According to Meralco, the main drivers of the increase are higher transmission charges and a new Feed-in Tariff Allowance (FIT-All) rate.
The transmission charge went up by ₱0.1468 per kWh, attributed to higher ancillary service charges from the Reserve Market under the National Grid Corporation of the Philippines (NGCP).
Meanwhile, the FIT-All, a government-mandated charge that supports renewable energy producers, rose by ₱0.0884 per kWh following an order from the Energy Regulatory Commission (ERC). The new FIT-All rate now stands at ₱0.2073 per kWh, replacing the previous ₱0.1189 per kWh.
A bit of good news: generation charge drops
Helping soften the overall increase, the generation charge went down by ₱0.1008 per kWh, from ₱8.0008 to ₱7.9000 this month. The decrease was mainly due to lower costs from Power Supply Agreements (PSAs) and the Wholesale Electricity Spot Market (WESM).
Meralco explained that PSA rates dropped by ₱0.2985 per kWh thanks to lower fuel prices, which offset the effect of the peso’s depreciation against the US dollar. WESM rates also declined by ₱0.6273 per kWh, following downward billing adjustments despite tight supply conditions in October.
However, Independent Power Producers (IPPs) saw a ₱0.2481 per kWh increase due to the weaker peso, as about 99% of IPP costs are dollar-denominated.
For this billing cycle, PSAs supplied 77% of Meralco’s power needs, IPPs 20%, and WESM 3%.
Where your payment goes
Meralco emphasized that the generation and transmission charges are pass-through costs—meaning the utility merely collects and remits them to power suppliers and the grid operator. Taxes, universal charges, and FIT-All collections also go directly to the government.
The company noted that its distribution charge—the portion that goes directly to Meralco—has remained unchanged since it was reduced by ₱0.0360 per kWh in August 2022.
This brings the total rate for a typical household to ₱13.4702 per kWh, up from ₱13.3182 per kWh in October. For residential users consuming 200 kWh, the adjustment means an additional ₱30 in their monthly bill.
What’s behind the hike?
According to Meralco, the main drivers of the increase are higher transmission charges and a new Feed-in Tariff Allowance (FIT-All) rate.
The transmission charge went up by ₱0.1468 per kWh, attributed to higher ancillary service charges from the Reserve Market under the National Grid Corporation of the Philippines (NGCP).
Meanwhile, the FIT-All, a government-mandated charge that supports renewable energy producers, rose by ₱0.0884 per kWh following an order from the Energy Regulatory Commission (ERC). The new FIT-All rate now stands at ₱0.2073 per kWh, replacing the previous ₱0.1189 per kWh.
A bit of good news: generation charge drops
Helping soften the overall increase, the generation charge went down by ₱0.1008 per kWh, from ₱8.0008 to ₱7.9000 this month. The decrease was mainly due to lower costs from Power Supply Agreements (PSAs) and the Wholesale Electricity Spot Market (WESM).
Meralco explained that PSA rates dropped by ₱0.2985 per kWh thanks to lower fuel prices, which offset the effect of the peso’s depreciation against the US dollar. WESM rates also declined by ₱0.6273 per kWh, following downward billing adjustments despite tight supply conditions in October.
However, Independent Power Producers (IPPs) saw a ₱0.2481 per kWh increase due to the weaker peso, as about 99% of IPP costs are dollar-denominated.
For this billing cycle, PSAs supplied 77% of Meralco’s power needs, IPPs 20%, and WESM 3%.
Where your payment goes
Meralco emphasized that the generation and transmission charges are pass-through costs—meaning the utility merely collects and remits them to power suppliers and the grid operator. Taxes, universal charges, and FIT-All collections also go directly to the government.
The company noted that its distribution charge—the portion that goes directly to Meralco—has remained unchanged since it was reduced by ₱0.0360 per kWh in August 2022.
Nov 10, 2025
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