Ancillary Service charges up in February 2025 power bill
Published on February 12, 2025 12:00 AM
Ancillary service (AS) charges drive the increase in overall transmission charges in consumers' electric power bills for the month of February.
AS rates in January 2025 Billing Period increased and is 12% higher at PhP 0.6640/kWh compared to PhP 0.5928/kWh in December 2024 Billing period.
This also includes the first tranche of the 70% AS transaction from the Reserve Market incurred in March 2024 which recovery was deferred by the ERC then.
Ancillary Service charges pertain to the cost for AS sourced from the AS Reserve Market and those for AS providers with bilateral contracts with NGCP.
Transmission wheeling rates, or what NGCP charges for its primary service of delivering power, are at PhP0.5422/kWh from PhP0.5315/kWh.
Overall transmission charges are at PhP1.3504/kwh in January 2025 Billing Period compared to PhP1.2583 in December 2024 Billing Period.
“Only 54 centavos of the overall transmission rate is charged by NGCP for the delivery of its services to power consumers. This month's transmission charge is comprised mainly of AS charges remitted directly to power generators providing ancillary services to the grid,” said NGCP.
NGCP does not earn from AS and did not benefit from the increase in prices. AS charges are pass through, and generating companies benefitted from this increase. AS are support services used to balance and stabilize the grid during power supply-demand imbalance.###
2025-02-12 NGCP News Release-2025-02-12-13-53-36.pdf
