POWER DISTRIBUTOR Manila Electric Co. (Meralco) said it’s open to working with regulators and stakeholders on measures that would help ease electricity costs, following rising public concern over higher bills.
“Meralco stays open to constructive discussions and is willing to work with government, regulators, lawmakers and stakeholders on measures which might be fair, transparent, and supported by appropriate laws and regulatory mechanisms,” Joe R. Zaldarriaga, Meralco vice-president and head of corporate communications, said in an announcement over the weekend.
The statement got here after Akbayan Party-list called on Congress to analyze “various and sometimes opaque charges” in electricity bills, citing public frustration over persistently high power costs.
“If these charges are legitimate, they have to be clearly and intelligibly explained,” Party-list Rep. Jose Manuel T. Diokno said. “In the event that they are excessive or poorly designed, Congress has the duty to correct them.”
Meralco said it supports efforts by the Department of Energy and Energy Regulatory Commission to explore ways to scale back electricity rates.
“Now we have at all times been very proactive in in search of ways to ease the burden on all power consumers and implement initiatives that mitigate increases in rates,” Mr. Zaldarriaga said.
He added that Philippine electricity prices reflect the “true cost of power,” noting the absence of presidency subsidies that exist in some neighboring countries.
Generation charges make up the majority of electricity bills and are influenced by fuel prices, supply conditions and foreign exchange movements, he said.
Meralco’s distribution charge accounts for about 12% of the overall bill and has remained stable despite rising operating costs and peso volatility, based on the corporate.
“Despite this, Meralco continued its investments in system modernization, reliability improvements, digitalization, and customer support enhancements,” Mr. Zaldarriaga said.
He added that electricity bills are “unbundled” to point out cost components corresponding to generation, transmission, system losses, taxes and other pass-through charges.
For May, Meralco reduced overall electricity rates by P0.0151 per kilowatt-hour (kWh) to P14.3345 per kWh, following regulatory-approved measures aimed toward cushioning consumers from elevated global energy prices.
The corporate serves greater than 8.1 million customers across Metro Manila and nearby provinces including Bulacan, Cavite, Rizal, Laguna, Batangas, Pampanga and Quezon.
Meralco’s controlling shareholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT, Inc. Hastings Holdings, Inc., a unit of PLDT Useful Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera