ERC urged to resolve Meralco's rate reset

The Energy Regulatory Commission (ERC) should promptly resolve Manila Electric Co.'s (Meralco) rate reset, as further delays could hurt consumers and undermine investor confidence, a think tank said.

- - Brix Lelis

In a letter to the ERC, Infrawatch PH called for the immediate release of the long overdue decision on Meralco's fifth regulatory period (5RP) covering the years 2022 to 2026, which was reportedly ruled as a lapsed period.

Meralco's rate reset process is conducted through a performance-based regulation (PBR), an internationally accepted rate-setting methodology that requires the submission of revenue requirements for the next four years.

As such, Infrawatch PH convenor Terry Ridon said it is high time for the ERC to issue a formal order on the 5RP so Meralco can move forward with its 6RP set to commence in July 2026.

"This will not only ensure that the benefits promised under PBR are realized by customers but will also send the appropriate signals for investors to come in," Ridon said.