House panel OKs new 25-year Meralco franchise bid

MANILA, Philippines — A House of Representatives committee approved proposals to grant another 25-year franchise to Manila Electric Company (Meralco).

A statement from the House’s media affairs office on Tuesday showed that House Bills (HB) No. 9793, 9813, and 10317 were consolidated during the hearing of the House committee on legislative franchise on Monday.

HB No. 9793 was authored by Albay 2nd District Rep. Joey Salceda, HB No. 9813 by Cagayan de Oro 2nd District Rep. Rufus Rodriguez, and HB No. 10317 by Marindque Rep. Lord Allan Velasco.

All three are committee chairpersons at the House: Salceda heads the committee on ways and means; Rodriguez, the committee on constitutional amendments; and Velasco, the committee on energy.

Salceda, Rodriguez, and Velasco were also present during the hearings.

According to Rodriguez and Velasco, issues raised against Meralco have already been threshed out and answered by the company.

“Practically everything has been discussed, and has been ventilated, and has been answered,” Rodriguez said.

“Meralco has long been serving our country well, and I truly believe they are deserving of a new franchise,” Velasco added.

READ: Group asks House panel to approve new franchise for Meralco 

Meralco’s new franchise has been backed by key members of the House, including the three committee chairpersons, because it is seen to ensure stability as the distribution utility services key economic hubs like Metro Manila, Cavite, Rizal, Batangas, Laguna, Quezon and Pampanga.

In June, Rodriguez urged his fellow lawmakers to heed the advice of major business groups in the country, which have supported calls for a new franchise for Meralco.

According to the lawmaker, letters of support from the Semiconductor and Electronics Industries in the Philippines Foundation, Inc. (SEIPI), the Private Electric Power Operators Association (PEPOA), the Makati Business Club (MBC), and the Management Association of the Philippines (MAP) show a wide support for Meralco’s continued operations.

READ: House urged to support calls for new Meralco franchise 

But Minority lawmakers like ACT Teachers Partylist Rep. France Castro have asked whether Meralco has already addressed several concerns raised against the power service provider.

Castro also asked whether there is a real public clamor for Meralco’s franchise renewal, as it is set to expire by 2028 or over three years from now.

According to Castro, the franchise renewal process should be transparent, adding that a comprehensive review of Meralco’s performance is needed.