NGCP Reports 4.26% March Transmission Rate Hike Driven by Ancillary Services
NGCP Reports 4.26% March Transmission Rate Increase

NGCP Announces 4.26% Increase in March Transmission Rates

The National Grid Corp. of the Philippines (NGCP) reported on Wednesday, April 15, 2026, that transmission rates for the March billing period rose by 4.26 percent. The rate increased to PHP0.0716 per kilowatt-hour from PHP1.6810/kWh recorded in February, marking a significant adjustment in electricity costs for consumers across the country.

Ancillary Services Drive the Rate Hike

During a briefing, Julius Ryan Datingaling, NGCP head for Revenue Management, attributed the bulk of the increase to higher ancillary service charges. These pass-through fees, which support grid stability, frequency control, and reserves, accounted for PHP0.8516/kWh of the total rate. Datingaling emphasized that these services are essential for maintaining reliable power transmission but directly impact consumer bills.

Transmission wheeling rates, representing the cost of delivering power through the grid, also saw an uptick. They increased to PHP0.7022/kWh from PHP0.6677/kWh in February, further contributing to the overall rise. This component reflects the operational expenses associated with moving electricity across the national network.

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Regional Variations in Rate Adjustments

The rate hike varied by region, highlighting disparities in transmission costs across the Philippines. Luzon experienced an increase of PHP0.0335/kWh, while Visayas saw a more substantial rise of PHP0.3416/kWh. Mindanao recorded a smaller adjustment of PHP0.0073/kWh. These differences underscore the localized factors influencing transmission expenses, such as infrastructure demands and grid conditions.

NGCP Clarifies No Profit from Increase

Cynthia Alabanza, NGCP spokesperson and head of Corporate Communication and Public Affairs, clarified that the company does not profit from the rate increase. She explained that NGCP operates under a revenue cap predetermined annually by the Energy Regulatory Commission (ERC), ensuring that adjustments are tied to service costs rather than corporate gains.

"NGCP's revenue per year is predetermined by the ERC. Because our services and transmission meeting rates are not fuel-dependent, there is no impact or movement on transmission rates based on external factors like the Middle Eastern conflict," Alabanza stated. This assurance aims to address consumer concerns about potential profiteering or geopolitical influences on electricity prices.

The announcement follows ongoing discussions about energy affordability and infrastructure investments in the Philippines. As transmission rates play a crucial role in overall electricity bills, this hike may prompt further scrutiny from regulators and consumer groups seeking transparency in utility pricing.

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