Davao Light raises rates on higher generation costs

Davao Light and Power Company, Inc. (Davao Light) has raised its electricity rates for the March–April 2026 billing period, attributing the increase to higher generation charges amid rising power supply costs.

The utility reported that the overall residential rate went up to P10.63 per kilowatt-hour (kWh), marking a P0.33/kWh increase from the previous month’s P10.30/kWh. The hike was largely driven by elevated prices in the Wholesale Electricity Spot Market (WESM), where the company sources a portion of its electricity.

For households consuming around 200 kWh, this adjustment means an additional P65.40 in their electricity bills for the billing cycle covering March 12 to April 11.

In addition, Davao Light introduced a Uniform Lifeline Subsidy charge of P0.01/kWh in March 2026. This applies to customers who are not beneficiaries of the Lifeline Subsidy program, as well as those whose monthly consumption exceeds 100 kWh.

The company also noted that under-recovery charges, which began appearing in billing statements during the February–March cycle, remain in effect. These charges allow distribution utilities to recoup costs that were previously under-collected due to timing differences between supplier billing and customer charges.

Fermin Edillon, head of the company’s Reputation Enhancement Department, said global factors could continue to push electricity prices upward.

He pointed out that ongoing tensions in the Middle East are contributing to higher global fuel prices, which may eventually impact electricity costs in future billing cycles once suppliers reflect current generation expenses.

Amid these developments, Davao Light urged consumers to practice energy conservation to better manage their electricity bills.

The company, a subsidiary of Aboitiz Power Corporation, reaffirmed its commitment to maintaining transparency in pricing and ensuring reliable, fairly priced electricity services for its customers.