ERC warns power distributors on proper billing to customers

MANILA, Philippines - Customers of distribution utilities should be billed properly for their electricity consumption based on accurate readings and proper computation of installed meters, the Energy Regulatory Commission (ERC) chief said.

ERC chairman Jose Vicente Salazar said “the ERC will hold accountable any power utility whose negligence results in clear disadvantage to customers.”

He pointed out “it is the right of every customer to have accurate meters that guarantee the correct registration of their electricity consumption.”

The warning came after the power regulator ordered Manila Electric Co. (Meralco) to refund P1.8 million to William Chan for overbilling.

Meralco was also fined P100,000 for “negligence in the conduct of its business in distributing electricity.”

Chan, who is in the tube ice business, had alleged that on Nov. 16, 1998, he discovered one of the Meralco meters installed outside his plant was missing.

Even without the installed meter, he said his electricity bill was consistently pegged at 165,240 kilowatt hours (kwh) for three consecutive months, which was based solely on assumed reading.

The businessman filed a complaint after receiving billing assessments amounting to P205,084.40 after Meralco had replaced the missing meter, which was settled “under protest” to avoid disconnection and interruption of his business.

Findings of an ERC analysis showed Meralco had excessively billed Chan. It also maintained that Chan must not be made to pay for electricity which was not actually consumed.

The power regulator added Meralco should ensure during monthly readings that its meters are properly installed.

“Based on the evidence presented, Mr. Chan was able to prove that Meralco billed him in excess of his electricity consumption for the disputed billing periods and that Meralco imposed threats of service disconnection,” the ERC said.