Negros Power Announces September Rate Increase Due to Rising Supply Costs

Negros Power has declared a rate adjustment starting this September, attributing the increase to external market pressures and escalated power supply costs. The average residential rate will rise to P12.2775 per kilowatt-hour (kWh), up by P0.7715 from August’s P11.5060/kWh, while commercial consumers will face a rate of P12.38 per kWh.

The utility explained that the rate hike primarily results from increased generation costs, following a series of Yellow Alerts triggered by reduced reserve margins in the Visayas grid last month. These alerts pushed prices higher in the Wholesale Electricity Spot Market (WESM), a key source of power for distributors.

Beyond generation expenses, additional costs such as power delivery charges and ancillary service fees, which are necessary to maintain grid stability and reliability, have also risen. However, Negros Power assured customers that its Distribution, Supply, and Metering (DSM) charge remains unchanged at P0.89 per kWh, emphasizing that the rate increase is driven by factors outside its control.

In a statement, Negros Power said, "We understand the importance of affordable electricity for every household and business, and we recognize that any increase in your monthly bill can pose a challenge." The company reaffirmed its commitment to transparency and operational efficiency amid rising costs.

Negros Power also highlighted ongoing efforts to stabilize and lower energy costs in the region by optimizing operations and collaborating with suppliers and regulators to mitigate future price volatility.

The adjustment poses financial challenges for many households and small businesses already managing tight budgets. The company expressed empathy toward its consumers and pledged to "do its best to cushion the impact" of these market-driven changes.

As central Negros faces higher electricity expenses this month, Negros Power urged patience and understanding from customers, noting that the increase reflects overall difficulties in the energy sector. Similar rate hikes are anticipated among other electric distribution utilities across the Visayas due to comparable market conditions.