The Independent Electricity Market Operator of the Philippines (IEMOP) warned of higher rates in the first ten days of September.

IEMOP said that as of September 10, average market prices at the Wholesale Electricity Spot Market (WESM) increased to P9.02 per kilowatt-hour from P7.26 per kWh in August.

It said peak power demand has been continuously rising since July, driven by strong economic activity due to increased mobility and the re-opening of classes.

“So far, our peak demand in Luzon increased by 187 megawatts (MW) to 11,459 MW, while in the Visayas, the demand peaked at 2m225 MW, higher by 34 MW.

The recent planned and forced generator outages have also resulted in an increase in spot market prices and, very recently, an issuance of red and yellow alerts in the Luzon grid,” IEMOP said.

IEMOP reiterated the importance of saving and efficiently managing electricity consumption, “which will not only save on our electricity cost but also immediately help in mitigating reduced supply margins.”

It encouraged the efficient use of electricity amid the high price of imported fossil fuels and given the observed growth in demand.

Recent data in the WESM showed a drop in electricity prices by P1.66 per kWh to P7.27 per kWh for the August billing period due to an increased supply margin equivalent to 844 MW.

The lower market price also resulted in an uptick in customer purchases in the spot market, averaging about 14 percent of their energy consumption compared to the 8.3 percent purchases in the preceding month.



WESM operator warns of higher rates in September
Source: Filipino Daily Inquirer