Power rates down, oil prices mixed

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    Following last October’s increase, power rates in areas covered by Manila Electric Co. (Meralco) will go down by P0.0395 per kilowatt hour (kWh) this month due to lower generation charges brought about by more supply.

    Meanwhile, oil price movements are mixed this week due to the continuing effects of the pandemic and the market’s reaction on the conclusion of the US elections.

    This month’s power rate cut is equivalent to a decrease of around P8 in the bill of a residential customer consuming 200 kWh monthly. This also brings overall power rates in November to P8.5105 per kWh from last month’s P8.5500 per kWh.

    The company said improved supply in the Luzon grid and the tempered demand due to cooler temperatures brought by recent weather disturbances contributed to the decline.

    Lower prices of Malampaya natural gas prices following a quarterly repricing and the slight appreciation of the peso versus the US dollar also contributed in pulling down rates.

    Meanwhile, the Department of Energy said the average Manila price per liter of gasoline (RON95) is now at P48.02, diesel at P32.86 and kerosene at P36.21.

    Petron, Shell and Seaoil adjusted per liter prices upward by P0.20 of diesel and P0.40 of kerosene. Gasoline prices are down by P0.20 .

    PTT also implemented a similar price movement scheme for gasoline and diesel.

    As of November 3, year-to-date adjustments on fuel prices summed up to a net decrease of P5.47 per liter for gasoline, P11.11 per liter for diesel and P14.29 per liter for kerosene.

    Reuters reported as of Friday last week, brent crude settled at $39.45 a barrel as US West Texas Intermediate ended at $37.14 a barrel percent. -J. Macapagal