The Energy Regulatory Commission has ordered Manila Electric Co. (Meralco) to refund customers P21 billion, effective this month’s billing until June 2023.
ERC chairperson Agnes Devanadera said this would be equivalent to P0.86 per kilowatt-hour reduction for residential customers.
“Yes, this is a true-up,” Devanadera said.
“The order has been promulgated today. It is the fourth order for Meralco to refund,” the ERC official added.
The refund involved ERC case No. 2020-043 RC, wherein Meralco filed an application for issuance of provisional authority for the confirmation of the true-up calculation of the actual weighted average tariff (AWAT) vis-a-vis the ERC approved average rate implemented for the lapsed regulatory years.
This was meant to determine if there are any over or under-recovery.
Meralco spokesman Joe Zaldarriaga said they have yet to receive a copy of the ERC order.
“But we will comply with the directive of the commission just as we did in their previous orders,” he said.
ERC spokesperson Floresinda Digal did not provide additional details but confirmed that the new refund is on top of the P0.1528 per kWh refund ordered by the agency last year.
Digal said the refund order was based on verification of data, among others.
ERC earlier directed Meralco to refund a total of P13.885 billion or equivalent to an average refund of P0.1528 per kWh over 24 months or until the amount is fully refunded.
In its previous order, the ERC emphasized that it limits such provisional authority only to the refund of the amount as applied by Meralco.
C also directed Meralco to reflect the refund as a separate line item in its customers’ bills.
Moreover, ERC said the rebate is without prejudice to the outcome of the final evaluation of the application after completion of both technical and legal proceedings.
Meralco is the country’s biggest power distributor with seven million customers in its franchise area.