Meralco seeks rate reset after decade-long freeze

Power distributor Manila Electric Co. (Meralco) is seeking its first distribution rate increase in over a decade to fund a P272 billion grid modernization plan.

- BY GABRIELL CHRISTEL GALANG

Meralco chairperson Manuel V. Pangilinan told reporters that the utility filed an application with the Energy Regulatory Commission (ERC) to adjust its tariffs for the first regulatory period, a move that would end an 11-year freeze on the rates it charges customers for delivering electricity.

Pangilinan said the adjustment is necessary to reflect the company's current operational costs and the substantial investments required to upgrade the aging power infrastructure.

"We filed an application for the tariffs. All I can say is we haven’t had any tariff adjustment since July 2015... This is our 11th year of flat distribution of tariffs, so we deserve some adjustment," Pangilinan said.