What is driving the June 2026 power rate hike in Negros

By Francis Allan L. Angelo

BACOLOD CITY — Negros Power has notified consumers of an increase in electricity rates for June 2026, attributing the adjustment to higher power generation costs that it said are affecting electric distribution utilities throughout the Visayas.

The average residential rate for June 2026 settled at PHP 13.8417 per kilowatt-hour, up PHP 2.4609 per kWh from the May 2026 rate of PHP 11.3808 per kWh.

The company said the increase was driven primarily by the higher cost of purchasing electricity from its power suppliers.

A major contributor was the sharp rise in prices at the Wholesale Electricity Spot Market, where rates more than doubled during the month amid limited available supply.

Several power plants were unavailable while demand remained high, prompting the National Grid Corporation of the Philippines to declare Yellow and Red Alerts in both the Luzon and Visayas grids.

Power purchased from CENPRI also became more expensive because of rising fuel prices in the global market, further increasing generation charges.

Engr. Christian John Villena, energy sourcing manager of Negros Power, said the increase reflected prevailing market conditions affecting the entire Visayas grid rather than a single distribution utility.

“In the interest of transparency, we want our consumers to understand that this increase is primarily due to higher generation costs resulting from limited power supply and increased fuel prices. The significant rise in WESM prices, coupled with higher costs from our power suppliers, has affected electricity rates throughout the region. This is not a situation unique to Negros Power. Electric distribution utilities across the Visayas are likewise expected to register increases in their electricity rates because these generation costs are driven by conditions affecting the entire grid,” Villena said.

He added that generation charges are pass-through costs and do not form part of the distribution utility’s revenues.

Villena also noted that while transmission charges posted a slight decrease during the month, the reduction was not enough to offset the higher generation costs.

For June 2026, Negros Power listed the following average rates:

• Residential (RES): PHP 13.8417/kWh
• Low Voltage (LV): PHP 13.7469/kWh
• High Voltage (HV): PHP 12.8694/kWh

For context, the Wholesale Electricity Spot Market is the trading floor where generators and distribution utilities buy and sell power, with prices swinging sharply higher whenever available supply tightens against demand.

Yellow and Red Alerts, meanwhile, are issued by the grid operator when reserves thin out, with a Red Alert signaling a supply deficiency that can lead to rotating brownouts.

Generation and transmission charges are regulated pass-through items that utilities collect on behalf of suppliers and the grid operator, and are monitored by the Energy Regulatory Commission.

Negros Power reiterated its commitment to transparency by keeping consumers informed of the factors affecting their bills.

The company said it continues to pursue the most competitive and reliable power supply sources available, while encouraging consumers to adopt energy-efficient practices to manage their consumption.

As power supply conditions and fuel prices continue to influence generation costs, Negros Power assured consumers that it remains committed to delivering reliable service and timely information on developments affecting electricity rates.