Davao Light trims residential power rate to P12.90/kWh in Sept

CHRISTMAS IS IN THE AIR! Bright and colorful Christmas lights, along with beautifully crafted parol-inspired decorations, are now on sale along C.P. Garcia Highway in Davao City as stalls brighten the streets and welcome the start of the "ber" months.
CHRISTMAS IS IN THE AIR! Bright and colorful Christmas lights, along with beautifully crafted parol-inspired decorations, are now on sale along C.P. Garcia Highway in Davao City as stalls brighten the streets and welcome the start of the "ber" months.Ralph Llemit/VoxPop Photo
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DAVAO Light and Power Co. Inc. (Davao Light) has reduced its overall residential electricity rate by P0.19 per kilowatt-hour (kWh) for the latest billing period, offering a modest reprieve after rates reached a 2026 high of P13.09/kWh in the previous cycle.

The utility’s residential rate for the August 11 to September 10, 2026 billing period is P12.90/kWh, down from P13.09/kWh in the July 11 to August 10 billing period. 

For a household consuming 200 kWh, the P0.19-per-kWh reduction translates to about P38 less in the electricity charge, before other bill components and applicable adjustments.

Davao Light said the latest movement resulted from changes in the different components of the electricity bill, including factors linked to power supply conditions, electricity demand, and prevailing market prices.

“The movement in the overall rate reflects changes in the different components of the electricity bill, particularly those affected by prevailing power supply conditions, electricity demand, and market prices. These factors influence the cost of electricity and may cause the overall rate to vary from one billing period to another.”

The company also said it has continued implementing mitigating measures approved by the Energy Regulatory Commission (ERC) to help cushion customers from changing electricity costs.

The July increase had prompted concerns from members of the Davao City Council, with officials calling for measures to secure more stable and affordable electricity for consumers.

Davao City Council subsequently urged Davao Light to pursue longer-term power supply agreements and interim emergency contracts with available baseload generators, citing the volatility of WESM prices and the need for more predictable electricity costs. 

The previous P13.09/kWh rate also marked a significant increase from rates recorded earlier in the year. Davao Light’s residential rate had stood at P10.35/kWh in May, before rising to P12.30/kWh in June and P13.09/kWh in July. 

The rate movements have occurred amid power supply constraints and generation-related cost pressures. Reports in July noted that several generating facilities experienced outages or maintenance issues, while some Mindanao plants were affected by the June 8 earthquake, contributing to tighter supply conditions and higher spot-market exposure. 

The ERC, meanwhile, has been implementing measures aimed at mitigating electricity costs. Among these was the temporary suspension of the P0.0371/kWh Green Energy Auction Allowance (GEA-All) for the July and August 2026 billing months.

Despite the September reduction, the latest rate remains substantially above Davao Light’s P10.35/kWh level earlier this year, underscoring the continuing sensitivity of consumers’ electricity bills to generation costs, supply availability, and market conditions. DEF

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