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ERC orders Meralco to refund PHP 1.4B-worth of over collections

The Energy Regulatory Commission (ERC) recently announced that it is ordering Meralco to refund to consumers its over collections amounting to PHP 1.4 Billion.


ERC said that Meralco made over collections in the following pass-through charges: Transmission Rate (TR), System Loss Rate (SLR), Lifeline Subsidy Rate (LSR), and Senior Citizen Subsidy Rate (SrCSR). This is based on the ERC’s review of Meralco’s submitted data for the period from January 2017 to December 2019. The commission also confirmed the Meralco incurred under-recoveries in the Generation Rate (GR).


“The Commission’s initial evaluation of the documents submitted by MERALCO revealed that it (MERALCO) incurred a total over collection amounting to PhP1.4 Billion in the Transmission, System Loss, Lifeline Subsidy and Senior Citizen Discount Rates, but also incurred a total of PhP2.38 Billion under collection in the Generation Rate.” ERC Chairperson and CEO Agnes VST Devanadera explained.

ERC directed Meralco to implement its over and under-recoveries, by way of refunding and collecting the same, subject to the final evaluation by the Commission.

The over-recovery refund will be at an average rate of PHP 0.1331/kWh, for a period of approximately three (3) months until fully refunded, and to collect the computed under-recovery in the Generation Rate, with an equivalent rate of PHP 0.0395/kWh, for approximately twenty-four (24) months until fully collected starting on the next billing cycle upon receipt of the ERC’s subject Order.

The ERC also directed a longer period for MERALCO to collect the under charges in order to protect the consuming public by mitigating the impact of the said under-recovery collection.

source: ERC

This article was written by Louie Diangson, Managing Editor of YugaTech. You can follow him at @John_Louie.

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3 Responses

  1. Miss Call says:

    The headline make it sound like it’s a net return for consumers. It’s not:

    “but also incurred a total of PhP2.38 Billion under collection in the Generation Rate”

  2. Akuma says:

    Check nyo pano magreading mga taga meralco, di na kita numbers sa loob tapos sobra layo pa sa meter, pano nila naread ng tama… Asa pa na 1.4b lang nakuha ng mga yan hinuhulaan lang metro nyo

  3. Jojo says:

    Ang Dami naka illegal connection di nyo maayos ayos, tapos sa system loss nyo sisingilin. Ningas cogon kayo kumilos, hotline nyo useless din.

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