NGCP reiterated its call for the unbundling of transmission charges to help consumers better understand the different components reflected in their electricity bills.
NGCP explained that transmission charges consist of several components, including transmission wheeling and Ancillary Services (AS) charges.
The company noted a monthly rate movement on transmission wheeling, which cover the cost of delivering electricity through the grid, as well as on AS charges—pass-through costs paid to generators providing reserve capacity during supply-demand imbalances.
For the November 2025 Billing Period, the equivalent average transmission rate is at PhP1.3547/kWh from PhP1.5105/kWh in October.
NGCP emphasized that a significant portion of transmission charges in recent years has been driven by AS costs, which do not accrue to the company. These are fully collected and remitted to AS providers, in line with regulatory requirements.
Another component reflected in transmission charges is the Feed-in Tariff Allowance (FIT-ALL), which NGCP clarified is not charged to distribution utilities and electric cooperatives—such as MERALCO and VECO—but only to consumers directly connected to the grid.
“Over the past year, AS rates formed the bulk of transmission charges following the shift to all-firm AS contracts and the commercial operations of the Ancillary Services Reserve Market,” NGCP said. “Together with FIT-ALL, these are pass-through costs which NGCP does not earn from. The company is obligated to collect and remit these charges in full to AS providers and to TransCo for the Fit-ALL. It is only proper that these be clearly separated from transmission wheeling rates, which represent NGCP’s actual charge for power delivery services.”
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