Manila Water Company and Laguna Water have shifted a combined 53 facilities to electricity sourced from 100% renewable energy (RE) under the expanded Retail Aggregation Program (RAP).

Manila Water transitioned 47 facilities under Manila Electric Company (Meralco) with a combined demand of 209 kilowatts (kW), while Laguna Water shifted six facilities under First Laguna Electric Cooperative (FLECO) with a combined demand of 318 kW.

Manila Water said it is among the first organizations in the country to transition facilities under the expanded RAP, following the implementation of the lower eligibility threshold.

The transition follows Energy Regulatory Commission (ERC) Resolution No. 22, Series of 2025, which lowered the RAP eligibility threshold from 500 kW to 100 kW.

The lower threshold allows more facilities and businesses to access competitive electricity suppliers and renewable energy options.

In simple terms, RAP allows eligible electricity users to aggregate or group their demand so they can participate in the competitive retail electricity market, instead of remaining under captive supply.

The facilities covered by the transition include deep wells, line booster stations, and offices that support the delivery of water and wastewater services to customers.

Manila Water said the shift is expected to help shield the company from volatile electricity costs and potential supply disruptions, as electricity is a major operating expense in water service delivery.

It added that securing more competitive and sustainable power sources would help the company manage costs while maintaining reliable service for customers.

“Manila Water played a crucial role in engineering, development, and advocacy of the amended Retail Aggregation Program to expand its reach and impact,” Manila Water Energy Director Dr. King Verzola said.

“Last year, we became the first company to switch under RAP at the 500kW threshold, and today we are once again demonstrating leadership by being among the first to transition under the new 100kW threshold,” he added.

Verzola said the achievement reflects collaboration between industry and regulators in addressing policy gaps and maximizing the benefits of energy market reforms.

The transition is part of Manila Water’s broader strategy to strengthen operational resilience while accelerating renewable energy adoption.

Manila Water East Zone Chief Operating Officer Arnold Mortera said most of the company’s grid-supplied facilities now benefit from competitive electricity sourcing.

“Today, 96 percent of Manila Water’s electricity requirements are supplied through Retail Electricity Supply arrangements, while 3 percent comes from solar energy and only 1 percent remains under captive supply,” Mortera said.

“With the implementation of RAP at the 100-kW threshold, nearly all our grid-supplied facilities will now benefit from competitive retail electricity procurement,” he added.

Mortera said this provides greater protection against volatile electricity rates, helping the company manage operating costs and safeguard customers from unnecessary increases in water service costs.

Manila Water expects additional facilities across its service areas to transition under RAP in the coming months, further strengthening its energy portfolio and reducing reliance on traditional power procurement.

The company said the move demonstrates how responsible utility management can create long-term value for customers, support business sustainability, and contribute to the country’s energy transition.

Can the lower RAP threshold help more utilities and businesses shift smaller facilities to renewable energy supply?

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