Meralco new franchise would be good for PH, says Cagayan de Oro lawmaker

FILE PHOTO: Meralco logo. INQUIRER/Edwin Bacasmas

MANILA, Philippines – Providing Manila Electric Company (Meralco) with a new franchise would be good for the Philippines, as it would give the country an image of a stable economy, Cagayan de Oro City 2nd District Rep. Rufus Rodriguez said on Monday.

Rodriguez in a statement on Monday said that renewing the Meralco franchise for another 25 years will be a way to show investors that businesses can operate stably in the country — which he thinks can translate into better service for the people

“Renewing the franchise of Meralco will show potential investors that capital-heavy investments can benefit from long-term stability here in the Philippines as it is safeguarded by the government,” Rodriguez, who also filed House Bill No. 9813 seeking to extend the company’s franchise, said.

“This in turn will result in improved service and economic conditions for Filipinos in the long run,” he added.

Rodriguez also said that Meralco has shown rapid growth in the past few years, indicative that the company has been managed properly.

“The power distributor’s efforts to maintain a high level of service stability and reliability at the least cost consistent to its mandate and its initiatives to extend help even beyond its service area through its social development programs have benefitted not just its customers but even the underserved Filipinos in other parts of the country,” Rodriguez said.

“Meralco-powered areas have demonstrated rapid economic growth in the past decades compared to those serviced by electric cooperatives. On this basis alone, it is imperative for the government to sustain this development in support of our economic trajectory,” he added.

There have been talks about Meralco after lawmakers like Rodriguez and Albay 2nd District Rep. Joey Salceda filed bills seeking to renew the franchise for another 25 years.

However, other lawmakers from the Makabayan bloc, particularly ACT Teachers Rep. France Castro and Gabriela Rep. Arlene Brosas, said that hearings for Meralco’s new franchise should not be rushed because many issues have to be reviewed.

Castro in a separate message to INQUIRER.net said she also hopes the House committee on legislative franchises would be able to study it properly first.

Meralco’s franchise is set to expire by 2028.

READ: Salceda: New Meralco franchise good for economy; Makabayan wants no rush 

Earlier, consumer group People for Power (P4P) Coalition also expressed concerns about giving Meralco a franchise earlier than expected may lead to concerns being set aside.

“If we give Meralco an early franchise renewal, we are giving them a free pass on all the allegations against them. Giving them a decades-long franchise now will remove the ability of the government to hold them to account and protect consumers,” Arances said.

But Meralco spokesperson Joe Zaldarriaga maintained that the endorsement of Meralco’s franchise by veteran lawmakers only shows the company’s efforts to deliver good service to its customers.

“The filing of separate bills to renew the legislative franchise of Meralco by veteran and respected lawmakers is a firm validation of the relentless efforts of Meralco to deliver service to millions of Filipinos including commercial and industrial establishments that require adequate, reliable and efficient electric service,” Zaldarriaga said.

“As a highly-regulated entity, Meralco has always been strictly compliant of the laws and regulations governing its franchise and has continuously adhered to the level of service required from us,” he added.

Zaldarriaga also echoed Rodriguez, saying that a new franchise for Meralco ensures stability.

“Granting the franchise renewal would allow Meralco’s growing number of customers to continue enjoying stable and reliable electricity service, which is vital in powering not just households but also industrial and commercial customers that drive the country’s economic progress,” he noted.