Renewal of Meralco franchise draws flak

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A CONSUMER group over the weekend decried the consolidation of three bills in the House of Representatives seeking the renewal of Manila Electric Co.’s (Meralco) franchise, saying it was too early to discuss the matter.

“It is too early to discuss the renewal of Meralco’s franchise, which will expire in 2028,” said Rodolfo Javellana Jr., national president of United Filipino Consumer and Commuters.

House Bills 9793, 9813 and 10317 were authored by Reps. Joey Salceda, chairman of the House Committee on Ways and Means; Rufus Rodriguez, chairman of the House Committee on Constitutional Amendments; and Lord Allan Jay Velasco, chairman of the House Committee on Energy.

Velasco said Meralco has long been serving the country well and, hence, deserves a new franchise.

Javellana said the lawmakers’ eager support for Meralco might be misinterpreted by the public as “one way of soliciting financial support.”

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“The expiration of Meralco’s franchise is still four years away; we already pointed that out. So, discussing the issue of renewal is uncalled for at this time, especially after the distribution utility just announced that the power rate in its franchise has increased,” he said.

Just recently, Meralco announced that the power rate of P11.6012 per kilowatt hour in July would increase to P11.6339 per kilowatt hour in August.

For residential customers consuming 200 per kilowatt hour, the adjustment would incur an increase of around P7 in their electricity bill.

“We are now forced to believe that the increase in the Meralco rate this month is actually for the congressmen who passed those proposals for its franchise renewal,” said Javellana.

Javellana said public consultation should be conducted before Congress grants Meralco a new franchise.

“Meralco is not serving the public or the Filipino consumers; they are serving themselves,” he added.

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