The Manila Electric Co. (Meralco) received on Tuesday an order from the Energy Regulatory Commission (ERC) on the company’s application to confirm pass-through charges from 2017 to 2019.
Meralco Utility Economics head Larry Fernandez said that according to the commission’s calculations, Meralco incurred a net under-recovery of P935 million and the commission granted interim relief to refund over-recoveries over three months and to collect under-recoveries over 24 months.
“At the beginning of its implementation, the order will mean a net average reduction of 11.5-centavo/kWh in the pass-through charges of Meralco customers,” Fernandez said.
Meralco will immediately begin preparations to comply with the ERC ruling.
Earlier, the ERC directed distribution utilities, both private and electric cooperatives, to refund to their respective consumers the over-recoveries in the generation rate, transmission rate, system loss rate, lifeline subsidy rate and senior citizens subsidy rate, or the pass-through charges.