RESIDENTIAL customers of Davao Light and Power Company (Davao Light) will see a slight reduction in their electricity bills this April, even as the National Grid Corporation of the Philippines (NGCP) reported an increase in transmission charges nationwide.
In an advisory, Davao Light said the overall residential electricity rate declined by ₱0.10 per kilowatt-hour (kWh), bringing the new rate to ₱10.53 per kWh from ₱10.63 per kWh in March. The adjusted rate covers billing statements issued from April 12 to May 11, 2026.
The distribution utility attributed the decrease mainly to lower power supply costs from the Wholesale Electricity Spot Market (WESM), one of its primary energy sources. However, it cautioned that market prices remain volatile and may continue to fluctuate depending on supply and demand conditions.
Consumers were also urged to practice energy efficiency, as electricity rates are subject to monthly adjustments.
Transmission charges rise
While Davao Light customers experienced slight relief, NGCP reported that transmission charges reflected in April 2026 bills increased.
The overall equivalent average transmission rate for the March 2026 billing period rose by 4.26 percent to ₱1.7526 per kWh, up from ₱1.6810 per kWh in February.
A significant portion of the increase came from higher ancillary service (AS) rates, which went up from ₱0.8275 per kWh to ₱0.8516 per kWh. These charges cover standby power supplied by generators during supply-demand imbalances.
NGCP clarified that these are pass-through costs and do not contribute to its revenue, as payments are directly remitted to power generators and to the Independent Electricity Market Operator of the Philippines for reserves sourced from the market.
“As the system operator, NGCP’s priority is to ensure the grid remains resilient during supply-demand imbalances. NGCP does not profit from AS charges, as these are remitted directly to the providers who help us maintain the continuous flow of electricity across the country,” NGCP said.
The transmission wheeling rate, or the cost of delivering electricity through the grid, also increased slightly to ₱0.7022 per kWh in March from ₱0.6677 per kWh in February. Despite this, NGCP emphasized that its allowable revenue remains capped by the Energy Regulatory Commission (ERC).
“The increase in effective transmission wheeling rates has no impact on NGCP’s revenue, as the company’s allowable revenue is capped by the Energy Regulatory Commission (ERC),” NGCP added.
Stable supply amid global uncertainties
Despite rising transmission charges and ongoing geopolitical tensions in the Middle East, Davao Light assured consumers that electricity supply in its franchise area remains stable.
The company said global developments are not expected to directly affect local power availability, citing its diversified supply sources and procurement strategies designed to cushion against external disruptions. DEF
