Meralco eyes P9-B refund for customers

Power utility giant Manila Electric Co. (Meralco) is seeking regulatory approval to refund over P9 billion to customers following a true-up calculation for the 2025-lapsed period.

- BRIX LELIS, Jose Rodel Clapano

In separate filings with the Energy Regulatory Commission (ERC), the company proposed refunds of about P4.69 billion for the lapsed period January to June 2025 and P4.32 billion for July to December 2025.

This could translate to a reduction of around P0.09 per kilowatt-hour for residential customers, to be implemented over three years or until the full amount is refunded.

The adjustment will be reflected as a separate line item in the Meralco customer bills during the refund period.

The true-up calculation reflects the difference between Meralco’s actual weighted average tariff and its approved final determination rate during the lapsed period.

A lapsed period represents the time that has passed since the last rate adjustment, affecting the pricing and revenue structures of a regulated entity like Meralco.

During a lapsed period, consumers pay charges that are no longer reflective of the current cost of the service, while awaiting the approval of a new rate.