Metro Cebu households will pay slightly more for electricity in August 2026, as Visayan Electric’s residential rate rises by P0.06 per kilowatt-hour to P14.96 per kilowatt-hour, marking the fifth consecutive monthly increase.
Higher prices at the Wholesale Electricity Spot Market, increased transmission charges, and tight power supply in the Visayas grid pushed up electricity costs.
For a household consuming 200 kilowatt-hours a month, the P0.06 increase translates to about P12 in additional charges, though mitigation measures reduced a potential larger increase.
HOUSEHOLDS in Metro Cebu will pay slightly more for electricity in August, with Visayan Electric’s residential rate rising by P0.06 per kilowatt-hour (kWh) to P14.96 per kWh, its highest level so far this year.
The power distributor said Thursday, Aug. 20, 2026, that higher prices at the Wholesale Electricity Spot Market (WESM), increased transmission charges and tight power supply in the Visayas grid pushed up electricity costs.
This rate adjustment marks the fifth consecutive monthly increase since April.
Visayan Electric said the residential rate could have risen by as much as P2.10 per kWh without mitigation measures, which would have pushed the August rate to about P17 per kWh.
For a household consuming 200 kWh a month, the P0.06 increase translates to about P12 in additional charges. The mitigation measures reduced the potential increase by P2.04 per kWh, equivalent to about P408 for the same household.
Rate mitigation
Visayan Electric said it coordinated with the Energy Regulatory Commission and its power suppliers to limit the increase.
The company attributed the adjustment mainly to higher WESM prices and transmission charges resulting from increased ancillary service costs. Ancillary services are reserves used by the grid operator to help maintain the reliability and stability of the power system.
Spot market pressure
Data from the Independent Electricity Market Operator of the Philippines showed that tight supply had pushed up electricity prices in the Visayas in recent months. In June, the average WESM price in the region rose 41.7 percent to P14.46 per kWh from P10.20 per kWh in May as outages, supply constraints and reserve deficiencies affected the grid.
Multiple yellow and red alerts and market interventions were recorded during the June billing period because of generation deficiencies. Transmission constraints also limited the flow of cheaper electricity from the Luzon grid to the Visayas grid, adding pressure on prices.
Against that backdrop, Visayan Electric president and general manager Mark Anthony Kindica said the company was trying to limit the effect on consumers.
“We understand the importance of every peso to our customers, which is why Visayan Electric continuously works to optimize our power sourcing and keep rate adjustments to an absolute minimum,” Kindica said.
Monthly rates
Visayan Electric’s residential rate declined during the first quarter of the year before rising every month from April onward. The rate stood at P12.79 per kWh in January, fell to P12.38 per kWh in February and slipped further to P12.36 per kWh in March.
The rate rose to P12.57 per kWh in April, P12.88 per kWh in May and P13.74 per kWh in June.
The upward trend continued in July, when the residential rate climbed to P14.90 per kWh.
Kindica said cooler temperatures in the coming months could reduce electricity demand, help stabilize market prices and provide some relief to consumers.
Visayan Electric encouraged households to manage consumption by setting air conditioners at 24 to 25 degrees Celsius, unplugging appliances when not in use and monitoring electricity use. / DPC