Electricity prices in the Philippines are expected to rise following consecutive fuel price hikes, with the Energy Regulatory Commission (ERC) warning that higher global coal, oil, and liquefied natural gas (LNG) costs will push up rates in the Wholesale Electricity Spot Market (WESM). Consumers should brace for higher bills starting March 2026.

MANILA, Philippines — March 6, 2026 — The ERC announced that electricity prices will likely increase in the coming weeks as global fuel prices continue to surge due to the ongoing conflict in the Middle East. 

According to projections from the Independent Electricity Market Operator of the Philippines (IEMOP), disruptions in international supply chains are expected to drive up costs in the WESM, where power generators pass on higher fuel expenses in their market offers.

ERC Chairperson Francis Saturnino Juan explained that the simulations considered scenarios involving rising international coal, oil, and LNG prices. “This is part of our proactive approach to inform the public about possible movements in electricity rates,” the ERC said, noting that the adjustments are tied directly to global energy market volatility.

The announcement comes just days after oil companies implemented another round of pump price hikes on March 3, 2026, adding ₱1.90 per liter to gasoline, ₱1.20 to diesel, and ₱1.50 to kerosene. This marked the eighth consecutive week of increases for gasoline, the tenth for diesel, and the ninth for kerosene.

In addition to global fuel pressures, the ERC has already authorized Manila Electric Co. (Meralco) and its power generation partners to recover ₱31.34 billion in costs, which translates to an additional ₱0.2816 per kilowatt-hour (kWh) on consumer bills starting March 2026. This adjustment is part of a broader cost recovery mechanism approved earlier this year.

For households in Metro Manila and other serviced areas, this means a double impact: higher pass-through charges from Meralco combined with rising WESM rates due to global fuel price hikes. Energy experts warn that summer demand could further amplify the burden on consumers.

The ERC emphasized that while these increases are unavoidable given current market conditions, it will continue monitoring developments to mitigate the impact on consumers. Advocacy groups, however, are urging the government to accelerate renewable energy adoption and provide subsidies to cushion households from the rising costs.

With fuel and electricity prices both climbing, Filipino families are advised to prepare for higher utility bills in the coming months, underscoring the importance of energy conservation and exploring alternative power sources.