TACLOBAN CITY — The National Grid Corporation of the Philippines (NGCP) reported that higher Ancillary Services (AS) charges drove up transmission rates for August 2025, resulting in a 7.09 percent increase in the overall equivalent average transmission rate.
According to NGCP, the rate rose to P1.4171 per kilowatt-hour (kWh) in August from P1.3233/kWh in July. AS charges alone increased by P0.0787/kWh, from P0.5872/kWh in July to P 0.6659/kWh in August.
Ancillary Services are pass-through costs paid to providers that ensure grid stability during supply-demand imbalances. Payments are remitted directly to power generators with bilateral contracts with NGCP or to the Independent Electricity Market Operator of the Philippines (IEMOP) for reserves sourced from the Reserve Market.
NGCP emphasized that it does not earn from AS and does not benefit from price changes.
Meanwhile, NGCP’s transmission wheeling rate—the fee for delivering power through its grid—saw only a minimal increase of P0.0047/kWh, from P0.5923/kWh in July to P0.5970/kWh in August.
“For August 2025, NGCP charges only about P0.5970/kWh for its transmission service, while Ancillary Services remain the biggest component of transmission-related costs,” the grid operator said.
(LIZBETH ANN A.ABELLA)