NGCP announces lower transmission charges to be reflected in June billing

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National Grid Corporation of the Philippines.NGCP
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CONSUMER may see a slight reduction in their electricity bills this June after the National Grid Corporation of the Philippines (NGCP) announced lower transmission charges for the May 2026 billing period, citing decreases in both transmission wheeling and ancillary service (AS) rates.

In a statement, NGCP reported that the overall average transmission rate declined by 9.33 percent, dropping from ₱1.5983 per kilowatt-hour (kWh) in April to ₱1.4492 per kWh in May. The reduced transmission charges will be reflected in the June electricity bills of consumers served by distribution utilities nationwide.

The decline was primarily attributed to lower transmission wheeling charges—the fees collected by NGCP for the delivery of electricity through the national grid—as well as reduced ancillary service costs, which are necessary to maintain the stability and reliability of the country's power system.

Data from NGCP showed that transmission wheeling rates fell by 6.99 percent, from ₱0.6028 per kWh in the April 2026 billing period to ₱0.5607 per kWh in May.

Ancillary service rates likewise registered a significant decrease, dropping by 10.73 percent to ₱0.7220 per kWh from ₱0.8088 per kWh in the previous month.

Ancillary services are reserve power resources tapped by grid operators to address fluctuations in electricity supply and demand and to help prevent power interruptions. These services are sourced from the Reserve Market and power providers with bilateral contracts with NGCP. The associated costs are passed on to consumers without markup.

“For the June 2026 electric bill of end consumers, NGCP charges only 56 centavos per kWh for the delivery of its services,” the grid operator said.

NGCP also emphasized that its revenues are subject to regulation by the Energy Regulatory Commission (ERC) and are capped under a regulatory framework designed to ensure reasonable charges for consumers.

The reduction in transmission charges is expected to provide some relief to households and businesses amid fluctuating power costs. However, the overall impact on electricity bills will still depend on other bill components, including generation, distribution, taxes, and universal charges, which are determined by power suppliers and distribution utilities.

As of this writing, Davao Light and Power Company has not yet released its official June 2026 electricity rate adjustment and billing advisory. Consumers in Davao City and the franchise areas served by the utility are still awaiting the announcement to determine the full effect of the lower NGCP transmission charges on their monthly power bills.

Once Davao Light releases its latest rate schedule, consumers will have a clearer picture of whether the decrease in transmission costs will translate into lower overall electricity charges for June. DEF

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