Meralco Raises November 2026 Power Rate to P15.5510 per kWh as Fuel Costs Climb

Households Face a Second Monthly Increase

Meralco has raised its residential electricity rate by P0.4895 per kilowatt-hour for November 2026, bringing the rate for a typical household to P15.5510 per kWh from P15.0615 in October. A household consuming 200 kWh will pay about P98 more for the same electricity use, even after a new refund helps reduce the increase.

The Manila Electric Company announced the adjustment in its November 13, 2026, November rates release. Meralco spokesman Joe Zaldarriaga also announced the increase at a media briefing. It is the second consecutive monthly rate increase for the distributor, which serves more than eight million customers.

Higher generation costs drove most of the adjustment. Imported gas became more expensive, the weaker peso increased costs priced in dollars, and warmer October weather pushed electricity demand higher in Luzon. Taxes and some grid charges also increased, while cheaper electricity under power supply agreements and regulatory refunds softened the effect.

For households managing overdue bills, November also brings a payment deadline. Unpaid bills covering May through July 2026 must be settled by November 26. Customers using 200 kWh or less retain protection from disconnection until December only if they meet that condition.

What the Increase Means for Your Bill

Meralco's adjustment is about 49 centavos for every kWh consumed. A kilowatt-hour measures electricity use: an appliance drawing 1,000 watts continuously for one hour uses one kWh. The rate increase is about 3.25% compared with October, calculated from the P0.4895 change and the previous P15.0615 rate.

Applying the announced adjustment to unchanged monthly consumption gives these approximate increases:

• 200 kWh: P98 more.
• 300 kWh: P147 more.
• 400 kWh: P196 more.
• 500 kWh: P245 more.

Those figures measure the effect of the rate change alone. A household that also consumes more electricity will see an additional increase from that extra use. For example, at the announced typical household rate, another 10 kWh represents about P155.51 in electricity charges.

Imported Gas and the Peso Push Costs Higher

The generation charge, which covers electricity purchased from power suppliers, increased by P0.4344 per kWh. That rise accounts for about 89% of the final P0.4895 rate increase, although several other charges and reductions also affected the bill.

First Gas/Prime CoreGen charges rose by P2.9241 per kWh within that supplier category. Meralco attributed the increase to quarterly repricing of natural gas from Malampaya, higher liquefied natural gas prices, and peso depreciation. The company also cited the continuing crisis in the Middle East as a factor affecting supplier costs.

Liquefied natural gas, or LNG, is gas cooled into liquid form for transport by ship. First Gas/Prime CoreGen needed more imported LNG to supplement Malampaya supply. LNG's share of its gas use rose from 24% to 44%, an increase of 20 percentage points.

Around 86% of First Gas/Prime CoreGen's costs were denominated in dollars, according to Meralco. When the peso weakens, buying the same dollar amount of fuel or paying other dollar obligations requires more pesos. Households therefore feel changes in both fuel prices and the exchange rate through the generation charge.

Hotter Weather Raises Spot Market Prices

Average electricity demand in Luzon rose by about 769 megawatts amid warmer temperatures in October 2026, Meralco said. The company described the month as warmer even than October 2024, which it identified as the last El Niño event.

Charges from the Wholesale Electricity Spot Market, or WESM, increased by P4.3946 per kWh within that supply category. The spot market is where electricity is traded to meet supply requirements outside contracted deliveries. Prices can rise when demand increases and more expensive generation is needed.

WESM supplied about 3% of Meralco's electricity during the period. First Gas/Prime CoreGen accounted for approximately 24%, while power supply agreements accounted for 73%. Those shares explain why a large increase in a supplier category translates into a smaller change across the electricity Meralco buys.

Contracted Supply Provides Some Relief

Charges under power supply agreements, known as PSAs, fell by P0.2769 per kWh because of higher average dispatch. Dispatch means the electricity that generating plants are called upon to deliver. Meralco attributed the lower PSA charge to increased deliveries under these agreements.

PSAs covered nearly three quarters of Meralco's supply requirements, making their price reduction an important counterweight to rising gas and spot market costs. The P2.9241 increase for First Gas/Prime CoreGen, the P4.3946 increase for WESM, and the P0.2769 reduction for PSAs are changes within different supply categories. Their effect on household bills depends on how much electricity each category supplies.

Meralco's final generation charge rose by P0.4344 per kWh after the supplier movements were reflected in its electricity purchases. Customers receive the combined result through their bills rather than paying each supplier's announced change on every kWh they use.

Taxes Rise as Local Gas Use Falls

Taxes and other charges passed through to customers increased by a net P0.2165 per kWh. Meralco said the main reason was higher taxes resulting from lower use of indigenous natural gas, which is exempt from value-added tax.

The shift in fuel supply therefore affected bills in two ways. More imported LNG raised fuel expenses, while reduced use of domestic gas changed the tax treatment of the electricity supply. A fuel's purchase price is only one part of the amount eventually reflected in a household bill.

Meralco said generation payments go to power suppliers, while transmission and ancillary service payments go to the National Grid Corporation of the Philippines, or NGCP. Taxes, universal charges and other public policy charges are remitted to the government and relevant agencies. These amounts pass through Meralco rather than forming part of its distribution charge.

Grid Charges Move in Opposite Directions

NGCP charges increased by a net P0.0080 per kWh, a small change produced by two much larger movements. The transmission charge rose by P0.1721 per kWh after the Energy Regulatory Commission, or ERC, approved higher Maximum Allowable Revenue for NGCP.

Maximum Allowable Revenue is the revenue ceiling the regulator permits the grid operator to recover through regulated charges. Transmission charges cover moving electricity from generating plants through the high voltage network toward local distribution systems.

Ancillary service charges fell by P0.1641 per kWh following the suspension of the Reserve Market starting October 14, 2026. Ancillary services help keep the electricity system balanced and provide support when generation or demand changes. The reduction almost entirely offset the higher transmission charge.

A New Refund Cushions the Increase

November bills also reflect new ERC approved distribution tariffs for Meralco's First Regulatory Period. For a residential customer consuming 200 kWh, the change adds P0.0096 per kWh to distribution, supply and metering charges, equivalent to about P1.92 at that consumption level.

Regulatory reset fee adjustments fall from P0.0023 per kWh to zero. At the same time, Meralco is starting another Actual Weighted Average Tariff, or AWAT, refund worth P0.1733 per kWh for residential customers. The refund will run for six months or until the full amount has been returned.

The new refund covers January through June 2026. It relates to the difference between Meralco's actual weighted average tariff and the approved distribution tariff of P1.3522 per kWh during a period without a rate reset. A rate reset is a regulatory review that updates a utility's allowed charges.

The ERC approved the refund order on October 9 in Case No. 2026-129 RC, granting provisional authority for the January through June 2026 distribution-charge true-up. The order requires Meralco to return P2.64 billion at an average P0.1020 per kWh over approximately six months, with refund rates varying by customer class. Meralco had proposed P0.0487 per kWh over 12 months.

The ERC calculated an AWAT of P1.5537 per kWh for January through June 2026, based on actual revenues and electricity sales. Collections exceeded the approved P1.3522 per kWh distribution rate by about P0.20 per kWh, or P5.36 billion. Adjustments for earlier refund and true-up decisions brought the net refund to P2.64 billion.

The refund will appear as a separate bill line item labeled "AWAT (Refund)/Collect." ERC Chairperson and CEO Atty. Francis Saturnino Juan said shortening the refund period would give consumers faster relief while electricity prices remain elevated. The refund is provisional pending final evaluation, with a hearing scheduled for October 16 to 23 and monthly implementation reports required until the full amount has been returned.

Two existing AWAT refunds, covering July 2022 through December 2025, continue at a combined P1.0139 per kWh. Together with the new refund, the stated residential refund rates total P1.1872 per kWh. At 200 kWh, that is about P237.44, including P34.66 from the newest refund. The announced November rate already reflects the applicable adjustments.

Payment Deadlines and Customer Assistance

Meralco reminded customers that the ERC's extended payment arrangements carry specific deadlines. Households using more than 200 kWh monthly were advised to settle outstanding balances within the prescribed periods to avoid disconnection.

The key dates are:

• October 14, 2026: The Reserve Market suspension began, contributing to lower ancillary service charges.
• November 13, 2026: Meralco announced the November rate adjustment.
• November 16 to 18, 2026: Business centers will open from 7:00 AM to 5:00 PM during the ASEAN Summit.
• November 26, 2026: Unpaid bills covering May through July 2026 must be settled.
• December 26, 2026: Unpaid bills covering August through October 2026 must be settled.

Customers consuming 200 kWh or less monthly have their suspension of disconnection extended until December, provided they pay all unpaid May through July bills by November 26. Meralco gave no specific December end date for that protection in its announcement.

Customers needing flexible payment arrangements can contact Meralco through Facebook Messenger, email [email protected], or visit a business center. Payments can be made through the My Meralco app or authorized payment partners. During the ASEAN Summit, business centers will operate with a skeletal workforce while continuing to accommodate customer transactions.

For electricity service concerns, customers can use the app or Meralco's official social media accounts, call 16211, or text 0920-9716211 or 0917-5516211. For families facing both a higher current bill and overdue balances, the November 26 and December 26 deadlines are the immediate dates to plan around.

Key Points

• Meralco's November 2026 typical household rate rises to P15.5510 per kWh, up P0.4895 from October.
• A household using 200 kWh pays about P98 more for unchanged consumption.
• Higher gas costs, peso depreciation and stronger Luzon demand pushed generation charges upward.
• Lower PSA charges and a new P0.1733 per kWh refund reduce the increase.
• May through July arrears are due November 26; August through October arrears are due December 26.
• Disconnection protection for customers using 200 kWh or less continues until December if the November payment condition is met.