BA 110 

 
Microeconomics
FINAL REQUIREMENT
(Part 2)
NEWS ANALYSIS
 
Submitted by:
DAYAN A. MONDEJAR
 Ceneco’s average
power rate for
August was P12.3724
per kilowatt hour
(/kwh), an increase
of P1.8789/kwh from
July’s P10.4935/kwh.
 Determinants change in supply

The major factor that caused the spike of electricity

rates for the month of August originated from the
damaged submarine cable of the National Grid
Corporation of the Philippines connecting Cebu to
Negros and Panay causing imbalances in the power
requirement intended for Region VI electric cooperatives
automatically taken and supplied from WESM
(Wholesale Electricity Market).
 Sourcing out supply via the
Wholesale Electricity Spot
Market (WESM) to avoid
massive outages resulted to the
“spiraling cost of power” which
the utility firms consequently
passed on to consumers.
 Supply
Decrease:
price increases,
quantity
decreases.
Ceneco rates
down in
September
 A minimal P0.1122 per kilowatt-hour will be deducted
from the September billing of member-consumers of the
Central Negros Electric Cooperative.
 • The decrease can be
attributed to the reduction
in the generation,
transmission, system loss
charges and other pass
through charges, such as
lifeline and senior citizens
discount, GRAM ICERA or
Generation Rate Adjustment
Mechanism Incremental
Currency Exchange Rate
Adjustment, and value-
added tax.
Supply Increase:
price decreases,
quantity increases.
•The exorbitant prices are unbearable for the
consumers who are also bearing the economic woes
brought about by the pandemic.

•The consumers are being skillfully manipulated by

the powerful interests using technical jargon in the
power industry or power points formula on how
electric power is being distributed to various sectors
and the volume of power supply.
https://visayandailystar.com/sp-to-ceneco-explain-rate-increases/?
fbclid=IwAR02P4IfXKiUzcBwBQey4YI5k7LKYPqYe6jhi3ty9Zbxumv0Wi2nb8lTWaA
https://negrosnowdaily.com/ceneco-rates-down-in-september/?
fbclid=IwAR0RUz1Mk6c3X8rjeM0tRPzVJ0H0wsocxW1ibOZP9gngEGxKrdSC2MrAZ-o