A SENATE BILL that seeks to extend Manila Electric Co.’s (Meralco) franchise for another 25 years is now up for debate in the plenary.
“Meralco has long been a partner in our nation’s progress, but with that partnership comes accountability,” Senator Emmanuel Joel J. Villanueva said in his sponsorship speech for Senate Bill No. 2824 late Wednesday.
“This bill ensures that Meralco continues to meet the needs of our people while preparing for the challenges and opportunities of the future,” he added.
The proposed measure, if passed, will allow Meralco to continue to construct, operate, and maintain its electric distribution systems in areas such as Metro Manila, Bulacan, Cavite, Laguna, Batangas, and Rizal.
Meralco supplies power to at least 7.775 million Filipinos.
Last month, the House of Representatives approved a counterpart bill on final reading. It includes a provision that allows Meralco’s franchise to come into effect four years before its initial concession expires.
Citing the Electric Power Industry Reform Act of 2001, Mr. Villanueva emphasized the need for the company to ensure a reliable power supply in a “least cost manner” or at reasonable rates.
Meralco plans to invest about P24 billion over the next five years to enhance its power distribution system by replacing over 45,000 old poles and upgrading power lines, according to the senator.
“We join our countrymen in the hopes that these investments will make Meralco’s power supply even more reliable,” he said.
Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc.
Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — John Victor D. Ordoñez
