Meralco Keeps The Lights On
Meralco keeps the lights on as pandemic impacts on economy
by Manny Mogato
We hear you. We understand what you’re going through.
This is what the country’s largest power distributor recently assured its millions of customers who took issue with their seemingly inexplicable high power bills in May.
Meralco was, however, placed in a difficult position as the coronavirus disrupted the country’s political, economic and social life.
Everyone was affected — from the poorest residential customers to the largest business conglomerates — as the Philippine government imposed a total lockdown, suspended all forms of transportation, shut down economic activity and asked people to stay home.
As with other public utilities such as water and telecommunications, Meralco was expected to continue its services even when its meter reading and payment collection stopped.
So even when Meralco customers were unable to pay for their monthly bills, which piled up to three or four months, the company continued to keep their lights on.
Meralco assured its commercial and residential power users their electricity service would not be disconnected during the Enhanced Community Quarantine (ECQ). The company devised a plan to make bills payment more affordable, allowing consumers to pay their accumulated bills in four- to six-month installments.
Image by Meralco
Power users who consumed more than 201 kWh in February can pay their latest bill in four equal installments. Those who consumed 200 kWh or less are given six months to settle their bills. Installment payments are due every 15th of the month starting in June.
About 2.4 million electricity consumers may be shocked when they get their June bills that reflect their three or four months of consumption.
Meralco explains the sudden rise in the billing for June as this reflects the power users’s consumption as shown by their actual meter reading, instead of their estimated consumption in March and April, which was reflected in their May bills.
Fortunately, a large number of customers, about 65 percent, has already received a meter reading in May. For them, the June billing will not be as large compared to that which resulted from meter readings done in the same month.
Meralco had to contend with lower energy sales and reduced demand, as commerce and industry came to a full stop during ECQ.
The Meralco franchise area covers Metro Manila and the adjacent provinces of Bulacan, Rizal, Cavite and Laguna, as well as parts of Batangas. This accounts for 70 percent of Luzon’s energy demand.
Image by Meralco
The power demand prior to the pandemic exceeded 11,000 megawatts (MW) in Luzon, and fell below 8,000 MW during the lockdown. It rose to 10,400 MW in early June, along with the partial reopening of industries and commercial establishments, but this was still below pre-ECQ levels.
Economists estimate the Philippines lost about P1.3 trillion in gross domestic product over the last two quarters due to the prolonged lockdown, one of the longest and strictest in the world.
Worldwide, more than 6.9 million people have been infected by nCoV, with almost 400,000 fatalities and recoveries among nearly 45 percent of those who contracted the highly contagious respiratory disease.
In the Philippines, more than 21,300 people have been infected and over a thousand have died. This is the second highest death toll in Southeast Asia, after Indonesia.
Meralco understands the inconveniences wrought on its customers by the pandemic. And it will continue to listen, and act on their concerns as a company committed to serving their needs.
Manny Mogato is a co-winner of the 2018 Pulitzer Prize for International Reporting.
To learn more, contact your Relationship Manager, call 16210 or email us at corporatepartners@meralco.com.ph.
Story originally posted on Power Club.