Region VI electric cooperatives are greatly affected by the high electricity market price which resulted to the increase of electricity rates from June 2021 to present among electricity consumers of electric cooperatives in the said region composed of AKELCO, ANTECO, CAPELCO, GUIMELCO, ILECO I, ILECO II, ILECO III, NONECO, CENECO, and NOCECO.
Major factor that entails the spike of electricity rates for the month of August originated from the damaged submarine cable of the National Grid Corporation of the Philippines (NGCP) connecting Cebu to Negros – Panay causing imbalances of power requirement intended for Region VI electric coops automatically taken and supplied from WESM (Wholesale Electricity Market).
As a whole, the generation charge of the power generators triggered the increase of power rates because of its expensive price in the electricity market. While the DSM (Distribution, Supply and Metering) charge of Region VI electric cooperatives remains the same and no changes at all. DSM charges are the only portion on the electricity bill collected by the electric coops to sustain its services, and operation.
For instance, the issue concerning the clamor of the electricity consumers of Iloilo I Electric Cooperative, Inc. (ILECO I) in comparison to the private utility, wherein said private utility is temporarily sourcing its power from the Power Sector Assets and Liabilities Management (PSALM) from June 2021 to present that resulted to lower electricity rates. However, the said rate is subsidized by the government, and contract is temporary and non-firm.
