In Manila, Philippines, the House of Representatives passed a bill allowing the Manila Electric Company (Meralco) to continue its operations under a renewed franchise for another 25 years. This decision was made during a plenary session where House Bill (HB) No. 10926 received 186 affirmative votes. Meanwhile, seven members voted against it, and four abstained. The bill consolidates proposals from three separate House bills. These were authored by Albay 2nd District Representative Joey Sarte Salceda, Cagayan de Oro City 2nd District Representative Rufus Rodriguez, and Marinduque Representative Lord Allan Velasco.
The bill seeks to extend Meralco’s ability to construct, operate, and maintain its electric distribution system, which is crucial for a significant portion of the country. Meralco covers an area contributing to about half of the country’s GDP and services around 26% of the population. Salceda emphasized the economic impact of Meralco’s operations, stating that the country could potentially gain a substantial amount if distribution utilities performed at par with the company.
However, the bill’s passage was not without opposition. Representative Raoul Manuel from the Kabataan Partylist expressed concerns over the renewal. He questioned the urgency of the bill, given that Meralco’s current franchise is set to expire in 2028. Manuel argued that there is no immediate need to pass the renewal and highlighted issues regarding electricity costs in the country. The Philippines is known to have some of the highest electricity rates in Asia, and Manuel pointed to this as an ongoing burden for the public.
Manuel voiced doubts about the renewal process, suggesting that it might be part of a broader scheme by influential groups close to the administration to dominate the power sector. He highlighted the need for a thorough evaluation of Meralco’s performance record and service improvement plans before granting an extension. Manuel stressed that the renewal should not proceed hastily without considering the interest of ordinary citizens.