The Energy Regulatory Commission said Wednesday it issued a show cause order to power retailer Manila Electric Co. for alleged violations of certain directives, including the guidelines on bills payment, during the enhanced community quarantine.
“The commission provided enough guidance to the distribution utilities on their dealings with their consumers during the periods of the enhanced community quarantine and modified enhanced community quarantine so as not to cause additional burden at the time of a public health emergency due to COVID-19. We cannot tolerate such non-compliance and any erring party must be held accountable for their actions or misactions,” ERC chairperson Agnes Devanadera said.
ERC, in an order dated May 29, directed Meralco to submit an explanation on why it should not be held liable for the alleged violations of the ERC directives within 10 days from the receipt of the subject order. ERC was referring to the alleged violations of the directives contained in the series of advisories of the commission issued during the government’s implementation of the ECQ and MECQ measures.
Meralco head regulatory management Jose Ronald Valles confirmed the receipt of the letter from the ERC and said the company was preparing its reply.
“We believe that we have complied with the existing regulations and directives set by the regulator, and we will explain in full to the commission the basis for our actions and compliance. We reiterate that Meralco has not violated any rule even if our operations were severely challenged by this pandemic,” Valles said.
ERC informed Meralco that it allegedly violated certain directives in the advisories such as with respect to utilization of estimated billing provided that the word “ESTIMATE” be clearly written on the consumer bill.
ERC spokesman Floresinda Digal said that while the word “ESTIMATE” was reflected in the bill of Meralco consumers, it “may not have achieved the purpose.”
Another alleged violation involves the directive on the cumulative amount of electricity bill that was supposed to have fallen due within the ECQ, which should be amortized in four equal monthly installments, payable in the four succeeding billing months following the end of the ECQ.
Digal said the installments, per the due date indicated, “was not clear although there was a write up.”
Meralco was also asked to explain its alleged violation of the directive on the payments by customers in areas covered by ECQ extension until May 15 which should commence no earlier than May 30.
Digal said Meralco’s bill showed only the May 30 date “which failed to consider the installment.”
Meanwhile, the Philippine Rural Electric Cooperatives Association Inc. said electric cooperatives would continue to provide consumers affordable power rates compared to other distribution utilities.
“Electric cooperatives are the government’s staunchest and most ideal partner in total electrification. We have energized the most far-flung areas in the country long before others have taken interest in servicing them,” PHILRECA president Presley De Jesus said.
“We were created to become service-oriented and not profit-oriented utilities. The fact that we do not factor in any profit in our rate-setting mechanism ensures that our member-consumer-owners will get the most affordable energy rates possible,” De Jesus said.