Undercharging of generation rate in the same period also results in additional collections
MANILA - Meralco should refund consumers from overcollections of pass-through charges from Jan. 2017 to Dec 2019, the Energy Regulatory Commission said Tuesday.
The ERC said Meralco over-collected a total of P1.4 billion from pass-through charges in the two-year period, which includes the following items:
- Transmission rate
- System Loss rate
- Lifeline Subsidy rate
- Senior Citizen Subsidy rate
However, Meralco also undercharged P2.38 billion in generation rate, ERC Chairperson and CEO Agnes Devanadera said.
Starting the next billing cycle, ERC said that Meralco shall return an average of P0.1331 per kWh to consumers for three months.
Simultaneously, Meralco will collect P0.0395 per kWh in consumers' bills for 24 months.
ERC said it ordered Meralco to stretch the collection of charges to a longer period for the consumers to barely feel the impact of the charges.
The regulator also directed Meralco to submit a sworn statement within 10 days from implementation, stating that they will comply with the ERC order.
"Let it be emphasized that the commission, in acting on the pass on charges confirmation has the consumers’ welfare as its primordial consideration," Devanadera said.
The ERC earlier requested Meralco to submit data to investigate rising electricity costs to consumers.