Increased generation costs lead to a rise in the overall electricity rate

The power situation in Mindanao has impacted generation charges, primarily due to the El Niño phenomenon affecting hydropower sources, reducing their generating capacity by up to 50%. This has led to a decrease in the supply of cheaper power. Additionally, higher power supply prices from the Philippine Wholesale Electricity Spot Market (WESM) have contributed to an increase in Cotabato Light and Power Company (Cotabato Light) residential rates by P1.90 per kilowatt hour (kWh) this May.

As a result of the increased generation charges, the overall residential rate rose to P10.44 per kWh from the previous month's P8.54 per kWh. This means that a typical household with an average monthly consumption of 200 kWh will see a P380 increase to their May electric bills. This rate applies to the billing period from May 16 to June 15, 2024.

Cotabato Light encourages customers to practice energy conservation measures to help mitigate the impact on their electricity bills. Simple actions such as turning off lights when not in use, unplugging electronic devices, using natural lights, and using energy-efficient appliances.

Moreover, the generation charge on the customer's bill is just a pass-through charge, or Cotabato Light merely acts as a collecting agent for this charge. Cotabato Light’s own rate, which is the distribution charge, has not increased since 2012.

Cotabato Light, a subsidiary of AboitizPower, serves Cotabato City and the municipalities of Sultan Kudarat and Datu Odin Sinsuat in Maguindanao del Norte.