Meralco Makes Great Strides in Sustainability Journey

As the world marks International Day for Climate Action today, October 24th, the urgency to confront the climate crisis has never been greater. Governments and industries worldwide are accelerating efforts to mitigate the escalating impacts of climate change.

The Asian Development Bank’s 2024 report “People and Planet: Addressing the Interlinked Challenges of Climate Change, Poverty, and Hunger in Asia and the Pacific,” highlights the severe consequences of climate change in the region. The report notes that both gradual and extreme weather events are making it more difficult for countries to meet their Sustainable Development Goals (SDGs).

“Climate hazards are increasing and projected to become more severe and frequent with impacts leading to reduced agricultural and labor productivity, loss of livelihoods, and human displacement,” the report warns.

In the Philippines, industries have recognized this escalating threat and are integrating sustainability into their core operations, benefiting communities and supporting the national goal of a greener future.

As a leader in the Philippine energy sector, the Manila Electric Company (Meralco) remains at the forefront of this critical transformation, actively adopting and accelerating cleaner and greener technologies to promote sustainable growth.

“Our plans are well aligned with the country’s pursuit to develop more energy infrastructure and sustainable energy solutions that can promote energy security that can benefit not just consumers in our franchise area, but also cater to the power needs of our unserved and underserved communities,” Meralco chairman and chief executive officer Manuel V. Pangilinan said.

In 2019, Meralco launched its sustainability agenda, “Powering the Good Life,” which is deeply rooted in the UN SDGs and is distinctly focused on four pillars: Power, Planet, People and Prosperity. Since then, Meralco has made great strides in its journey towards a sustainable energy future.

Meralco developed its Long-term Sustainability Strategy (LTSS), outlining the company’s just, orderly, and affordable transition to clean energy from 2021 through 2050. As part of LTSS, Meralco crafted 30 by ’30 — the company’s 30 key sustainability plays through 2030 — to serve the country’s growing energy demand with greener power, while promoting the well-being of communities across the social impact areas of education, healthcare, livelihood, water access and disaster resilience.

Sustainability from within

With sustainability deeply embedded at the heart of Meralco’s strategy and operations, the company has integrated environment-friendly technologies and solutions throughout its network.

Since 2022, Meralco has shifted from using mineral oil to plant-based ester oil in its distribution transformers, further enhancing the environmental resilience of its operations. Natural ester oil is a 99 percent biodegradable, recyclable, and non-toxic material. Additionally, Meralco is on track to replace nearly 80,000 wood poles with concrete and steel poles by 2030.

On the resource conservation front, Meralco continues to make significant strides in energy and water use efficiency and waste management.

In 2023, the company achieved 6 percent energy savings and 5 percent water savings. Waste reduction also saw a significant improvement, jumping to 22 percent from only 8 percent in 2022. Moreover, Meralco’s solid waste diversion rate surged to 95 percent, a remarkable increase from the pre-pandemic rate of only 17 percent in 2019.

Looking ahead, Meralco aims to fully transition its company headquarters in Ortigas, Pasig City to renewable energy by 2030, with plans to extend solar power to its 35 facilities including business centers and sector offices.

Driving towards a greener future

For years, Meralco has championed eco-friendlier transportation by advancing the adoption of electric vehicles (EVs). The company aims to electrify at least 25 percent of its entire vehicle fleet by 2030. Thus far, 154 EVs are already in operation across Meralco business centers and sector offices, achieving a 6 percent electrification rate — surpassing the government’s 5 percent mandate by 2034.

In addition to expanding its EV fleet, Meralco has strategically installed 15 charging stations across its franchise area, with six more in the pipeline.

“As the Philippines enters a new era of sustainable mobility, Meralco remains committed to driving, accelerating, and enabling EV adoption in the country. The growing momentum across multiple sectors is bringing us closer to our shared vision of a highly electrified and green future for the nation’s transport industry,” said Meralco first vice president and chief sustainability officer, and Movem chief executive officer Raymond B. Ravelo.

Advancing diversity and inclusion in the workplace

Beyond its drive towards a sustainable energy future, Meralco advances diversity and inclusion in the workplace through its #Mbrace program, with initiatives guided by the United Nations’ Women Empowerment Principles.

As of 2023, Meralco has grown women representation in its workforce to 22 percent, well above the global energy sector average of 13 percent. Ultimately, the company aims to build a more gender-balanced and inclusive workplace and increase female representation to at least 30 percent by 2030.

“Improving diversity and inclusion in the workplace should not just be a pro-forma sustainability effort — it is key in securing Meralco’s future. Empowering women and advocating gender balance deepens the talent pool in our country, while also expanding the menu of possible careers for young women,” Pangilinan said.

In 2013, Meralco made history by being the first in Southeast Asia to train and hire female linecrew, a role traditionally held by men. Today, the company proudly employs 23 female linecrew, reflecting its steadfast dedication to gender inclusivity.

Meralco’s advocacy for women extends beyond employment. Through its “MpowHER” scholarship program, the company supports aspiring female engineers and technicians.

This year, Meralco provided grants to 18 electrical engineering students and 12 technician students, raising the total number of scholars to 67. These students, from schools including Batangas State University, Nueva Ecija University of Science and Technology, Polytechnic University of the Philippines, and the University of the Philippines in Diliman and Los Baños, receive financial aid for education-related expenses. Upon graduation, they will have internship opportunities at Meralco, with the potential to join its workforce.

“Investing in the education of women enables them to take charge of their future, as well as opens them up to opportunities to contribute to a more inclusive energy industry,” One Meralco Foundation president Jeffrey O. Tarayao, who also serves as Meralco vice president and chief corporate social responsibility officer, said.

Cultivating sustainable growth

To further its commitment to sustainability, Meralco has expanded the implementation of two nature-based programs aimed at protecting the environment and promoting sustainable agriculture: One For Trees, which has successfully planted over 2.3 million trees across the country, and PowerPlants, an urban farming initiative across Meralco facilities.

Meralco, through its corporate social development arm One Meralco Foundation (OMF), recently received over 1,000 seedlings from the Communications Electrical Equipment & Supply Co. Inc. (Celeasco).

The seedlings will be planted across various sites within the Meralco Operating Center (MOC) in Pasig City as part of the company’s urban reforestation efforts, to help enhance air quality in the bustling Ortigas business district.

“Greening our MOC is more than just a project—it underscores our commitment and resolve to protect the planet, beginning here in our own backyard,” Ravelo said.

“This is not only our commitment in making Meralco the lungs of the Ortigas business district, but it is really the propagation of a culture of malasakit and bayanihan for the country and our planet,” Tarayao added.

The 300-square meter PowerPlants urban farm meanwhile features an array of vegetables such as pechay, kangkong, mustasa, eggplants, malunggay, chilies, cabbages, tomatoes and ladyfingers.

Aside from vegetables, fruit-bearing plants such as strawberries, papayas, bananas, and calamansi are also grown in the farm. Meralco has utilized recyclable materials in the cultivation of PowerPlants, repurposing disposed electric meters and empty plastic bottles into pots to reduce the environmental impact of its operations.

“We stay true to our word — first to deliver power, to light up people’s homes, offices, malls, factories at the least cost to our customers. But on top of that, we have attached the responsibility of preserving our environment,” Pangilinan said.