The Manila Electric Company (Meralco) has recently reiterated that its electricity rates undergo a strict review process to ensure fairness and reasonableness for its 7.7 million consumers. This statement comes in response to allegations made by Philippine Rural Electric Cooperative Association (Philreca) Rep. Presley de Jesus, who claimed that Meralco charges higher rates compared to rural electric cooperatives in the provinces.
Meralco, in a statement sent to The Manila Times, clarified that any accusations of high rates are “misleading.” The company has been transparent about its monthly rate adjustments and has provided context behind these changes. In fact, Meralco recently announced a significant rate reduction of 80 centavos per kWh for December, effectively offsetting the combined increases of the past two months.
The power utility also highlighted its efforts in securing the least cost supply for its consumers. International Energy Consultants (IEC) have acknowledged Meralco’s power supply agreements as a key factor in managing rate increases over the past five years. It is important to note that electricity rates of private distributors and electric cooperatives across the country vary, and Meralco’s rates, deemed “fair and reasonable” by the IEC, are not the highest when considering the entire industry.
Meralco emphasized that it consistently meets regulator-set guaranteed service levels, ensuring stable and reliable electricity service for its 7.8 million customers. This commitment to service has been recognized by local government units and businesses who approach Meralco to take over due to high rates and unreliable service. However, Meralco respects the established electrical franchises of other local government areas and refrains from encroaching on their territories.
By addressing these allegations and providing clarity on its operations, Meralco aims to reassure its consumers of its commitment to fair and transparent electricity rates. The company’s dedication to securing the least cost supply and meeting regulator-set service levels further demonstrates its focus on providing stable and reliable electricity service to its customers.
It is important to note that the rates of electricity in different regions can vary due to various factors such as distribution costs, infrastructure, and local regulations. Comparing rates between urban and rural areas can be misleading without considering these factors. Meralco’s rates, which have undergone a strict review process, are determined to be fair and reasonable within the context of the industry.
As a responsible power utility, Meralco continues to prioritize the needs of its consumers and strives to maintain a transparent and accountable approach to its operations. By providing clear explanations and addressing misconceptions, Meralco aims to foster trust and confidence among its customers and the general public.
Source: The Manila Times
