Philippine Energy Market on Hold Amidst Middle East Tensions

The Philippines' energy market regulator announced on Thursday the suspension of the country's wholesale electricity spot market across all three grids. This decision comes amid fuel supply risks and volatile prices influenced by the ongoing Middle East conflict.

The Energy Regulatory Commission (ERC) has proposed a new pricing strategy expected to be finalized by April 1. This strategy seeks to stabilize the market and reflect more predictable pricing structures for power producers.

Under the plan, coal plants might be paid a fixed rate, while natural gas facilities could be priced based on existing contracts. Renewable energy sources like hydro and geothermal would adopt administered pricing with priority dispatch, the ERC clarified in their statement.

(With inputs from agencies.)