meralco customers to see lower rates in jan

8/14/2019 Meralco Customers to See Lower Rates in Jan

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8/14/2019 Meralco Customers to See Lower Rates in Jan

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The rate adjustment, it was noted, “takes into account economic factors such as inflation andforeign exchange rate, as well as the DU’s (distribution utility) actual performance in terms of the approved Performance Incentive Scheme (PIS) and the previous years’ under/over recoveriesin its distribution revenues.”The regulatory body added that “with this resulting increase, following the rovision on sideconstraints, which mitigates the adjustment that can be allowed for a DU so as to prevent huge

price increases for its consumers, Meralco’s 2010 rate was subjected to a ceiling computed atP1.4917/kWh.”Meanwhile, on Meralco customers’ overall bill for January, company executives noted that theoverall effect would still be a reduction, with expectations of significant downtrend on itsgeneration cost.The generation charge though changes on a monthly basis; while the adjusted distribution chargewill be in force until the next regulatory reset in year 2011.Meralco vice president and utility economics head Ivanna G. dela Pena noted that based onestimates, “the generation charge is expected to go down by around 26 to 27 centavos per kwh inJanuary,” following utilization of banked gas by its contracted natural gas-fed power producer.

Meralco gets nod to hike charges starting January12/29/2009 | 06:22 PM

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The Energy Regulatory Commission (ERC) has approved Manila Electric Co.'s (Meralco)petition to increase distribution, supply and metering charges.

The regulator gave Meralco the go-signal to impose a 26.9-centavo hike to P1.4917 per kilowatt-hour (kWh) at the start of the year.

But the regulator said it was optimistic the hike would be offset by the cut the utility's other charges.

"The ERC is optimistic that, notwithstanding the increase in Meralco's rates, the reduction inthe other charges in the customers' total bill will be more than sufficient to mitigate or evenoffset the impact of this adjustment," ERC Executive Director Francis Saturnino Juan said.

Under the scheme, residential customers who consume 200 kilowatt-hours (kWh) per month must pay P81.30 more, or a higher 40.54-centavo hike per kWh, assuming all other charges are unchanged.

Lifeline consumers will continue to enjoy discounts under Meralco's lifeline program, whichsubsidizes poor consumers with monthly billings of 100 kilowatt hours or less.

8/14/2019 Meralco Customers to See Lower Rates in Jan

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But in a separate statement, Meralco said generation charges would also drop startingJanuary.

"Based on estimates as of December 25, the generation charge is expected to go down by26-27 centavos per kwh in January, continuing the downward trend exhibited since May

2009," the company said.

Meralco external communications manager Joe Zaldarriaga said their customers couldexpect better and more reliable service. "This is our continuing commitment to our close tofive million customers," he said. — GMANews.TV