MERALCO echoes commitment to ERC regulations

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The Manila Electric Company (MERALCO) echoed its commitment to follow the regulations set by the Energy Regulatory Commission (ERC).

In response to the recent statements made by ACT-Teachers Rep. France Castro and Laguna 1st District Rep. Ann Matibag, MERALCO Vice President for Corporate Communications, Joe Zaldarriaga, clarified that MERALCO is just one of many Distribution Utilities (DUs) and Electric Cooperatives (ECs) in the country. 

“We have strictly abided by the rules and guidelines of our franchise as operations are heavily regulated by the ERC,” Zaldarriaga stressed. 

Zaldarriaga also highlighted that the electricity rates in the Philippines accurately represent the true cost of electricity, unlike other countries where rates are heavily subsidized by their governments.

A recent study International Energy Consultants revealed that MERALCO’s rates are “fair and reasonable,” adding that the country’s power prices are higher versus neighboring countries due to government subsidies. 

MERALCO said its records demonstrate competitive rates and service quality, with transparent communication about rate adjustments. 

Furthermore, approximately 80% of MERALCO’s charges are pass-through fees remitted directly to power generation companies, the transmission grid operator, and the government for taxes.

MERALCO’s distribution charge, Zaldarriaga clarified, has remained unchanged since the P0.0360 per kilowatt-hour (kWh) reduction for a typical residential customer starting in August 2022. 

“In terms of quality, Meralco has consistently delivered stable and reliable service and performed well within regulatory standards. Meralco also continuously invests in projects and new technologies that would improve and strengthen its distribution network to better respond to the needs of our 7.8 million customers,” Zaldarriaga said.