Oriental Mindoro utility raises generation charge in June bills

CALAPAN CITY, Oriental Mindoro — The Oriental Mindoro Electric Cooperative (ORMECO) has increased its generation charge for the June 2026 billing period by P0.4043 per kilowatt-hour (kWh), raising the rate from P17.8864/kWh in May to P18.2907/kWh.

In a public advisory, ORMECO said the increase was meant to address the recovery of deferred generation costs incurred in May and its continued dependence on more expensive emergency power sources to meet the province’s electricity demand.

READ: Consumer group seeks probe into Oriental Mindoro’s power situation

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The electric cooperative explained that it did not recover the full cost of purchased power in May, resulting in a lower generation rate of P14.9177/kWh for consumers during that billing period.

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According to ORMECO, the unrecovered generation cost reached P97.71 million, which it described as a temporary relief measure for its member-consumer-owners.

The cooperative also cited the implementation of the Energy Regulatory Commission’s (ERC) order suspending electricity disconnections nationwide for three months, covering electricity bills from May to July 2026.

To maintain its financial viability and operational stability, ORMECO said it has proposed to the ERC the recovery of the deferred generation costs through the June billing period.

The cooperative said another major factor behind the higher rate is its continued reliance on Emergency Power Supply (EPS) while awaiting the operation of new power providers under the province’s 57-megawatt Competitive Selection Process (CSP).

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ORMECO noted that the selected power providers have yet to receive their Provisional Authorities to Operate (PAOs) from the ERC, delaying the delivery of additional power capacity.

It also pointed to limited or zero power generation from renewable energy sources, which increased its dependence on higher-cost emergency generation.

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The cooperative said these circumstances resulted in higher generation costs that are now reflected in consumers’ June electricity bills.

Oriental Mindoro has experienced recurring power supply challenges in recent months as the province awaits the entry of new generation facilities expected to provide a more stable and affordable electricity supply. /jpv

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