ERC OKs additional Meralco prepaid meters

MANILA, Philippines - Power distribution giant Manila Electric Co. (Meralco) is ready to expand its prepaid electricity service after clinching regulatory approval for the installation of 1000,000 additional smart meters.

The Energy Regulatory Commission (ERC) has approved the additional 100,000 prepaid meters sought by Meralco, ERC spokesperson Floresinda Digal said.

“On the prepaid meters, this is part of Meralco’s application for Regulatory Year 2016 (capital expenditure) capex. Meralco applied for authority to install 100,000 prepaid meters and the Commission approved the same,” she said.

The project is under the capex application for RY 2016, which covers the July 1, 2015 to June 30, 2016 period, and will not have an additional impact on power rates, Digal said.

“The approval will not have any immediate rate impact as like other approved capex of Meralco, the same will still be subject to optimization in the next reset,” she said.

Based on Meralco’s application, the additional prepaid meters are targeted for installation in major cities in Metro Manila and nearby areas, the ERC spokesperson said.

“In the application, Meralco submitted as supporting documents the request of some cities for the availability of prepaid service in their areas, such as Manila, Mandaluyong, Makati, Pasig in Metro Manila, and Cainta, Taytay and Angono in Rizal,” Digal said.

The power distributor had asked the ERC to approve additional 100,000 prepaid meters last March 2015 due to strong demand for the service.

Initially, Meralco rolled out 40,000 prepaid meters under its prepaid retail electricity service (PRES).

In 2012, the power distributor signed a prepaid electricity system deal with GE to facilitate the prepaid platform.

With the prepaid meter system, customers can monitor their electricity consumption, allowing them to budget their consumption and expenses.