THE ENERGY Regulatory Commission (ERC) has granted approval for Manila Electric Co. (Meralco) to collect pass-through charges from its natural gas suppliers starting October.
These charges will affect bills starting in October, the ERC said in a statement.
“The Commission allowed the First Gas Power Corp. (FGPC) and FGP Corp. (FGP) to recover the difference between the previously approved pass-through costs and the landed cost of liquefied natural gas (LNG) and the new gas sale purchase agreement (GSPA),” the ERC said, citing its notice of resolution dated Aug. 13.
ERC Chairperson Monalisa C. Dimalanta estimated an increase of up to 33 centavos per kilowatt-hour (kWh). Households consuming 200 kWh may see an increase of P66 in their monthly electricity bill.
She noted that the actual amount will depend on the blend between LNG and Malampaya during the duration of Meralco’s power purchase agreement with First Gen’s subsidiaries.
Meralco earlier warned of a possible increase in generation costs from First Gas – Sta. Rita and San Lorenzo, as the pricing formula for both plants will be applied under the new GSPA.
In its computation, the costs will be equivalent to around P0.12 per kWh each month, “on top of the higher prices from the Malampaya gas and imported LNG of Sta. Rita and San Lorenzo as the ERC also approved the implementation of the new GSPAs between the Malampaya consortium and First Gas.”
“While we have yet to complete the final computations, rest assured that Meralco will duly inform the ERC and the public about the actual impact of this order on power rates,” the power distributor said in a statement late Thursday.
Meralco’s majority owner, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc.
Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera
