DAVAO CITY — The overall power rate of Davao Light and Power Co., Inc. (Davao Light) further decreased from P11.52 last month to P11.14 this March.
The thirty-eight (0.38) centavo per kilowatt-hour decrease is due to (1) Davao Light’s participation in the commercial operation of the Philippine Wholesale Electricity Spot Market (WESM) in Mindanao which the company took advantage of given the low power supply prices, and (2) the decrease of the price of power from coal suppliers where Davao Light sources a part of its power requirement. It can be recalled that power generation rates were high beginning in June 2022 due to the increase in the price of imported fuel particularly coal.
Davao Light customers whose household’s average monthly electricity consumption is 200 kilowatt-hours (kWh) will experience a decrease of P76 this month as compared to their February billing.
Power rates as reflected in Davao Light monthly bills are divided into 4 major components: Generation and Transmission, Distribution, Subsidies and Other Charges, and Government Charges and Taxes. Generation and transmission charges are pass-through charges that the distribution utility collects and pays to power suppliers and the transmission operator, respectively. The company only charges its customers for distribution, which remains at an average of P1.4257 per kilowatt-hour as approved by the Energy Regulatory Commission (ERC). This charge has not increased since 2013.
Davao Light, an AboitizPower subsidiary, aims to provide its customers with a front-seat vantage point regarding its services, including the sourcing and pricing of its electricity. This is in line with the mission of the company to deliver at the most reasonable cost, safe and reliable electric service to the people and businesses it serves.