House panel asked to take its time with Meralco franchise renewal; here's why 


At a glance

  • The House Committee on Legislative Franchises shouldn't rush the franchise renewal of the Manila Electric Company (Meralco) so that the power distribution giant can respond to all the issues it is involved in, Makabayan bloc member Gabriela Party-list Rep. Arlene Brosas said.


IMG-649e013406831307da43b4c36449e6bf-V.jpgParañaque City 2nd district Rep. Gus Tambunting (Ellson Quismorio/ MANILA BULLETIN)

 

 

 

 

 

 



The House Committee on Legislative Franchises shouldn't rush the franchise renewal of the Manila Electric Company (Meralco) so that the power distribution giant can respond to all the issues it is involved in. 

Makabayan bloc member Gabriela Party-list Rep. Arlene Brosas made this appeal to the House panel on Monday, June 10, as she highlighted that Meralco's current operating franchise won't expire until 2028. 

The committee chaired by Parañaque City 2nd district Rep. Gus Tambunting began a few week ago its deliberations on the bills for the 25-year extension of Meralco's franchise. 

The militant congresswoman says the panel must carefully study these measures since Meralco is linked to various controversies. 

Brosas claimed Meralco's 7.63-million subscribers have been suffering the burden of high power rates and unstable supply of electricity, especially in recent days when red and yellow alerts have been declared by the grid operator National Grid Corporation of the Philippines (NGCP).
 
Brosas said that Meralco’s mandate under Republic Act (RA) No. 9209--the law that granted the utility’s franchise--was to supply power without interruption and at the least cost to consumers.
 
The law provides revocation of franchise for violations, a power that Congress can exercise.
 
"Sunod-sunod ang pagtaas ng singil sa kuryente at malaki ang epekto nito sa mga Pilipino lalo't napakaliit lang ng sahod (Power rate increases are unabated and these have a major impact on Filipinos especially those who have very low pay),” Brosas said.
 
“Lagi na lang may excuse bakit tumataas, pero walang magawa ang gobyerno para ibaba ang singil (There’s always an excuse for the rate increases but the government is not doing anything to lower them),” she noted. 

The Gabriela solon said this is precisely why Meralco’s franchise renewal shouldn't be rushed.
  
“Aralin muna natin dahil dalawang committee hearing pa lang ang nailulunsad at hindi pa nabubusisi ito (Let’s study it first because only two committee hearings have been held and this has not been fully studied yet),” Brosas said.
 
“Kung sunod-sunod ang pagtaas ng singil sa kuryente, malinaw na may problema sa kasalukuyang sistema ng pribatisasyon (If there’s a series of power rate increases, it’s clear that there’s a problem with privatization),” she said.
 
Filing bills for the power utility's franchise extension were Albay 2nd district Rep. Joey Salceda and Cagayan de Oro City 2nd district Rep. Rufus Rodriguez.
 
Gabriela Party-list and other activists also held a protest in front of the Meralco Business Center in Kamuning, Quezon City to protest higher power rates. Meralco’s latest rate increase ranged from 46 centavos to P11.41 per kilowatt hour (kWh) . 

The militant groups also protested impending power rate increases in the coming weeks in the wake of the red and yellow alert status in power supply declared by NGCP. They claimed that the alert system was being used to justify power rate increases.