ERC fines MERALCO P19M

After complaints have been lodged against MERALCO for several months due to its electricity bill surge, the Energy Regulatory Commission (ERC) has officially fined the company with Php 19 million.

MERALCO, in particular, violated the following ERC directives: (1) Failure to clearly indicate that the bills were estimated (2) Failure to comply with the mandated installment payment arrangement.
According to ERC Chairperson and CEO Agnes VST Devanedara, “MERALCO’s neglect to provide accurate and timely information especially during this time of pandemic has created chaos and confusion to most of the electricity consuming public.”

The ERC has based the decision on the billing statements of their consumer affairs division, own employees, billing statements from the office of Senator Sherwin Gatchalian and the National Association of Electricity Consumers for Reforms.

The fine is equivalent to 109 days of violation in accordance with RA 9136 or the Electric Power Industry Reform Act.

Meanwhile, the ERC has ordered MERALCO not to charge the Distribution, Supply, and Metering charges of lifeline consumers “whose monthly energy consumption does not exceed 100 kWh for one month” as assistance to more than 2 million lifeline consumers affected by the pandemic.

MERALCO is set to submit a compliance report within 15 days.

“We will study the order and we will file the appropriate pleading after consultation with our lawyers.” The electric company has also clarified that the fines are shouldered by its Distribution Utility and “cannot be passed on to consumers”

Report from Naomi Tiburcio

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