The Wholesale Electricity Spot Market (WESM) tripartite committee has made permanent the P32¬per-kilowatt¬hour (kWh) price ceiling on power traded at the spot market to continue to shield consumers from any sudden price spike down the line.
The Wholesale Electricity Spot Market (WESM) tripartite committee, which includes the Energy Regulatory Commission (ERC), the Department of Energy (DOE), and the Philippine Electricity Market Corporation (PEMC), decided to retain the P32 price ceiling – a far cry from the original P62 per kilowatt-hour. The original WESM ceiling price of P62 per kilowatt-hour was reduced to P32 in December 2013, following the record-high prices recorded by the Manila Electric Company (Meralco). The committee also set another permanent price cap in an attempt to further protect consumers from steep WESM prices when supply is tight in the spot market. This secondary price cap, which is pegged at P6.245 per kilowatt-hour, will take effect once an average threshold of P9 per kilowatt-hour is reached over a 168-hour period.