Instead of a one-time power rate increase of P2.1098 per kilowatt-hour, the 62,000 member-consumer-owners of the First Catanduanes Electric Cooperative, Inc. (FICELCO) will see a slight decrease in their electric bills this April 2026 billing.
Last week during their board meeting, the Board of Directors approved the proposal of General Manager Engr. Francis A. Gianan to settle its power bills for March with Sunwest Water and Electric Co. Inc. (SUWECO) on a one-time payment to avail of the Prompt Payment Discount (PPD).
The P27.7 million billing for the Emergency Power Supply Agreement (EPSA) generation cost will be divided into two (2) equal portions and passed on to consumers for recovery over two (2) billing cycles this April and May 2026.
“The scheme will mitigate the impact of the EPSA generation cost, with a decrease of P0.0768/kWh in the residential effective rate during the first month of implementation this April 2026 billing,” the cooperative said.
A study of the generation mix for the Catanduanes grid in the first three months of 2026 showed that for January 2026, when there was still sufficient rainfall due to the shear line, the two operating hydroelectric power plants at NPC Balongbong and SUWECO Solong accounted for 35.80 percent of the total power generated.
Diesel-run gensets provided the remaining 64.20 percent, with just over 10 percent coming from the EPSA gensets that are pegged on the True Cost Generation Rate (TCGR) of P17.7869/kWh while the balance of 54.20 percent was based on the subsidized rate of P7.39/kWh.
In February, due to decreasing rainfall, hydropower production slid to 27.44% of the total, with diesel gensets’ share inching up to 72.56%.
By this time, the EPSA gensets’ share of the generation mix had increased to 11%, at a TCGR of P17.9197/kWh.
Last month, with PAGASA Virac recording total precipitation of just 50 millimeters, hydropower production plunged to just 9.66% while diesel’s share of the power mix shot up to 90.34%.
At the same time, SUWECO EPSA gensets provided 18.77 percent of the diesel power production, with the TCGR climbing by three pesos to P21.0295/kWh.
The generation cost from the EPSA gensets amounted to a total of P27.7 million for March 2026, which the cooperative would have to recover from its consumers.
As a result, the blended generation rate rose from P8.2156/kWh in March to P9.8116/kWh this April, or an increase of P1.596/kWh.
The development prompted FICELCO management to report the significant increase in generation costs to the Energy Regulatory Commission (ERC) pursuant to its directive issued last month.
The directive, which applies to distribution utilities with an increase of more than P1.00/kWh compared to the previous month, allows the Commission to enable timely regulatory intervention and consumer protection.
The DUs are required to submit the basis for their rate adjustments, including detailed computations, supporting invoices from power suppliers, and any proposed staggered recovery schemes agreed upon with suppliers.
By requiring advance submission of rate adjustments, the ERC is able to closely monitor price movements, validate cost increases, and determine appropriate mitigating measures before these are passed on to consumers.
It pointed out that an increase of more than PhP 1.00/kWh in the generation charge can significantly affect monthly electricity bills, particularly for households with higher consumption or those already vulnerable to rising living costs.
According to FICELCO’s analysis of the EPSA billing’s impact on the blended generation rate and the effective electricity rates, a one-time recovery of the P27.7 million generation cost would lead to an effective residential power rate of P16.8748/kWh, or an increase of more than two pesos over March’s P14.7656/kWh.
By recovering the same amount in two equal monthly charges, the effective rate will result in a P0.0768/kWh rate decrease this April.
The cooperative said any adjustment in the May billing cycle would depend on the increase in generation cost for the month.
EFFECTIVE POWER RATES FOR ONE-TIME RATE INCREASE RECOVERY
|
Classification |
Effective Rate | Increase (Decrease)
this April 2026 Billing Period |
|
| April 2026 | March 2026 | ||
| Rate for One-Time Recovery | Effective Rate | ||
| Residential | P16.8748 | P14.7656 | P2.1092 |
| Commercial | P14.1709 | P12.0620 | P2.1089 |
| Public Building | P13.2073 | P11.0984 | P2.1089 |
| Street Light | P14.2276 | P12.1188 | P2.1089 |
EFFECTIVE POWER RATES FOR TWO EQUAL MONTHLY RATE INCREASE RECOVERY
|
Classification |
Effective Rate | Increase (Decrease)
this April 2026 Billing Period |
|
| April 2026 | March 2026 | ||
| Rate for Two Equal Monthly Recoveries | Effective Rate | ||
| Residential | P14.6888 | P14.7656 | -P0.0768 |
| Commercial | P11.9848 | P12.0620 | -P0.0772 |
| Public Building | P11.0212 | P11.0984 | -P0.0772 |
| Street Light | P12.0415 | P12.1188 | -P0.0773 |