Meralco Owes P38 B to Consumers 

The lights dimmed even more for the Manila Electric Company (Meralco), the largest power distributor in the country. Last week, militants asserted that Meralco owes its consumers P38 billion for excess charges, P10 billion more than the amount calculated last November.

BY RONALYN OLEA 
Bulatlat.com

The Supreme Court recently ordered Meralco to refund excess charges it collected since 1994 which was placed at P28 billion. But activist scientists and a consumer watchdog revealed that Meralco's refund could amount to around P38 billion.

The Samahan ng Nagtataguyod ng Agham at Teknolohiya para sa Sambayanan (AGHAM) said the currency exchange rate is computed based in the prevailing basic charge.  AGHAM explained that if there is an overcharging on the basic rate, Currency Exchange Rate Adjustment (CERA) is also overcharged.

"The CERA overcharge amounts to P1.102 billion," AGHAM national chairperson Dr. Giovanni Tapang said.

The basic overcharge is calculated by multiplying the kilowatt-hour consumption by 0.167 pesos. The CERA overcharge is computed by multiplying the basic overcharge with the CERA which averages to around 4.97 percent since 1997 until March 2003.

Engr. Ramon Ramirez, AGHAM member and convenor of People Opposed to Warrantless Electricity Rates (POWER), asserted that interest charges should be added.  "If we use the 6 percent interest rate Meralco applies on its customer deposits, over nine years we calculate this to be around P6.85 billion."

"The overcharge, interest and the CERA total P 37.994 billion - P 30.039 billion for overcharge, P 6.851 billion for the interest and P 1.102 billion for CERA," Tapang summarized.

Households with an average use of 200 kwh are entitled to around P4,800 in rebates, including interest and CERA.

Modes of refund

POWER and AGHAM demanded the immediate rollback of power rates by 16.7 centavos.

The groups also proposed four possible modes of refund: lump sum cash; cash refund over one to three years; deductions on electric bills over one to three years; a stock option; or a combination of these modes.

Ramirez said that any of these modes would cost Meralco P10.5-billion, “an amount that it could very well afford." (Clarifying, Ramirez said the old ERB wanted P10.3 billion be returned for 1994-1998. But POWER has insisted that the refund involving 300 kwh and below be given first which amounts to an initial P7 billion.)

POWER said residential customers should be given priority since they are the ones who need the cash in these times of crisis. "Meralco could be made to refund its 340,000 commercial and industrial users after prioritizing residential customers," Tapang said.

Lights off

POWER, AGHAM, Anakpawis, Sampaloc Laban sa PPA  (SAMPAL-PPA) is planning a nationwide protest on April 29, anniversary of the first lights off activity in Sampaloc, Manila.

At 6 p.m., there will be simultaneous noise barrage in different areas in Metro Manila.  At 7 p.m., households and commercial establishments will shut down their electricity as a sign of protest to Meralco’s overcharging of rates. Bulatlat.com 

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