QUEZON CITY, July 3, 2026 — Average household electricity rates increased by 9% in June, bringing prices closer to levels last seen during the 2023 global energy crisis. Retail rates increased even as transmission charges declined and temporary regulatory measures were put in place to ease consumer costs.
According to Power Rates and Energy Supply Overview - Philippines (PRESYO-PH), a power rate platform of the Institute for Climate and Sustainable Cities (ICSC), electricity prices across much of the country continued to climb in June 2026, underscoring the continuing challenge of power affordability faced by Filipino households despite the adoption of measures intended to provide relief from high electricity costs.
Based on available data from 116 distribution utilities (DUs), the average residential electricity rate in the country increased from ₱11.47 per kilowatt-hour (kWh) in May to ₱12.51 per kWh in June—an increase of ₱1.04 per kWh, or approximately 9% in just one month.
The increase occurred despite lower transmission charges for the June billing period, the suspension of the collection of the Green Energy Auction Allowance (GEA-ALL), and the Energy Regulatory Commission's (ERC) approval of a staggered billing scheme for some distribution utilities due to elevated Wholesale Electricity Spot Market (WESM) prices.
The data indicates that these relief measures were outweighed by higher generation costs under utilities' power supply contracts, which typically account for 50% to 60% of residential electricity bills. Amounts corresponding to distribution charges, universal charges, and subsidies remained largely unchanged.
The increase was particularly pronounced in several areas. Between the May and June 2026 billing periods, some distribution utilities recorded month-on-month residential electricity rate increases of more than ₱4.00 per kWh, while several others posted increases exceeding ₱3.00 per kWh. According to the ERC, these sharp month-on-month increases prompted the implementation of staggered payment arrangements for affected distribution utilities to help ease the impact on consumers.
If the current trend continues, average electricity rates could approach the levels experienced during the height of the global energy crisis in 2022 and 2023, following the temporary Indonesia coal export ban and the outbreak of the war in Ukraine, which resulted in nationwide average residential rates peaking at around ₱13 per kWh in early 2023.
“Filipino families should not have to bear the burden of volatile global fuel prices every time they receive their monthly electricity bills. Much of today's increase is being driven by higher generation costs, which remain closely tied to imported fossil fuels—particularly coal and imported natural gas,” stressed ICSC Energy Transition Advisor Alberto Dalusung III.
“Investing in more renewable energy allows us to gradually reduce that dependence and build a power system that is affordable and less vulnerable to price shocks,” Dalusung added.
The latest electricity rate increases underscore the limits of temporary relief measures in protecting consumers from recurring power price spikes. Accelerating the deployment of indigenous renewable energy—including rooftop solar, which enables households to generate their own electricity—offers a more durable path toward affordable, reliable, and secure power.
ABOUT PRESYO-PH
PRESYO-PH is a first-of-its-kind data platform designed to enhance transparency on the true drivers of electricity prices by integrating pricing data from more than 150 DUs and ECs nationwide, alongside detailed insights into their respective energy sources. By making electricity pricing data publicly accessible, the platform allows consumers, researchers, local governments, and policymakers to monitor trends and better understand the factors affecting monthly power bills.
For more information about PRESYO-PH, visit https://presyo.icsc.ngo/home
ABOUT
The Institute for Climate and Sustainable Cities is a Philippine-based non-governmental organization that advances climate, energy, and low-carbon solutions to enable fair and climate-resilient development at the national and international levels.