PHP 20B Refund Signals Relief, But LKI Demands ERC Action on Stalled Rate Reviews

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In a significant win for millions of Filipino households, Laban Konsyumer Inc. (LKI) has hailed the Energy Regulatory Commission’s (ERC) green light for Manila Electric Company (Meralco) to roll out a P20-billion refund, offering much-needed relief amid soaring living costs. The decision, set to lower residential electricity bills by P0.20 per kilowatt-hour over the next three years, has sparked hope for consumers—but also renewed urgency for deeper reforms in the country’s power sector.

“This is a timely and positive development for the pockets of consumers already burdened by the rising costs of goods,” said Jorge Bandola, a trustee of LKI. The move promises to ease the financial strain on Meralco’s residential customers.

While the refund marks a step forward, LKI warns that it’s only part of the solution. The consumer advocacy group is now pressing the ERC to tackle a more systemic issue: the long-delayed rate reset process for Meralco and other power distribution utilities across the country. These resets, designed to ensure fair pricing and quality service under a performance-based regulation framework, have been stalled for years, leaving consumers shortchanged on the benefits they were promised.

“The years-long delays in the rate reset proceedings have hindered consumers from fully benefitting,” Bandola noted, pointing to a regulatory bottleneck that has kept electricity rates higher than necessary. For LKI, the Meralco refund is a wake-up call—a reminder that timely action by the ERC can deliver tangible results. Now, they’re demanding the same urgency be applied nationwide.

“We urge the ERC to conduct a review of electricity rates charged by other power distributors to ensure that all consumers—not just those being serviced by Meralco—benefit from transparent and reasonable rates,” Bandola said.  

LKI’s stance has cast a spotlight on the ERC’s role as a guardian of consumer welfare. With the group vowing to “strictly monitor” the rate reset proceedings, the pressure is on for the regulator to deliver. “We expect the ERC to uphold consumer welfare by observing timeliness, fairness, and transparency in its regulatory actions,” Bandola emphasized.

What do you think—should all power distributors face the same accountability, or is this refund enough for now? Let’s hear your take.



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