Consumers can expect an increase in their April 2025 electricity bills as the National Grid Corporation of the Philippines (NGCP) announced a hike in transmission charges, primarily due to higher Ancillary Service (AS) costs.
In a statement released Tuesday, NGCP explained that AS charges refer to the costs of securing reserves from the reserve market and from AS providers with bilateral contracts with NGCP.
“As a pass-through cost, only generating companies benefit from the increased AS rates,” NGCP stated in an emailed statement.
For the March 2025 billing period, AS charges rose by 16.05%, reaching P0.8094/kWh, compared to P0.6975/kWh in February 2025. This increase also includes the third tranche of the settlement for the remaining 70% AS cost from March 2024, a deferred recovery approved by the Energy Regulatory Commission (ERC).
Meanwhile, transmission wheeling rates, which represent NGCP’s primary charge for delivering power, saw a 4.81% increase, rising from P0.5252/kWh in February to P0.5505/kWh in March 2025.
Overall, NGCP emphasized that total transmission charges climbed by 11.51%, reaching P1.5240/kWh in March, compared to P1.3668/kWh in February.
“For the April 2025 bills of end consumers, NGCP charges only 55 centavos per kWh for the delivery of its services. The bulk of transmission charges is for AS, which is remitted directly to AS providers,” the company clarified.
With AS costs continuing to impact transmission rates, consumers are urged to stay informed about how electricity pricing evolves in the coming months.
