Sen. Win Gatchalian clarified that the recent increase in electricity bills is not due to lifeline rate discounts or senior citizen discounts but is mainly driven by rising generation charges.
Gatchalian, chairperson of the Senate Committee on Energy, said data showed that electricity prices increased due to higher generation charges, which reached P8.39 per kilowatt-hour in April. This marked an increase from P7.86 per kilowatt-hour recorded in March.
According to the senator, the increase cited by power distributor Meralco was largely attributed to foreign exchange fluctuations. He noted that electricity prices could rise further if global oil prices continue to increase.
Gatchalian warned that consumers may face what he described as a “triple whammy” if oil prices remain high. He explained that rising oil prices could lead to higher electricity costs and, at the same time, push food prices upward.
The senator also noted that discussions are ongoing during Senate hearings to review the actions taken by the government to address rising electricity costs and their impact on consumers.
Meanwhile, government spending related to measures addressing electricity costs has reached P41.6 billion, based on available figures cited during the discussions.
Gatchalian emphasized that lifeline rates and senior citizen discounts should not be blamed for the increase in electricity bills, reiterating that the main driver remains the rise in generation charges and external factors such as foreign exchange movements and global oil prices.
The ongoing hearings aim to examine both the causes of rising electricity costs and possible interventions to help reduce the financial burden on consumers.
