Meralco expects 6% energy sales growth this year

Pangilinan-led Manila Electric Co. (Meralco) sees its energy sales volume increasing by 6 percent by the end of 2024, with the residential market driving growth.

Meralco senior vice president and chief revenue officer Ferdinand Geluz said the forecast was an upgrade from an earlier projection of 4.7 percent.

“Now we’re seeing 6 percent. So we’ll end the year [with more than] 53,350 gigawatt hours (GWh),” he told reporters at a recent briefing in Pasig.

“That’s close to 3,000 GWh additional compared to 2023,” Geluz added.

Asked what would propel the growth, the executive said Meralco expected to book “high growth” in the residential segment.

Geluz earlier said the spike in electricity demand during the summer months—exacerbated by the El Niño phenomenon—could bolster sales volume growth. He also noted the rise in the number of residential customers Meralco was servicing.

The power distributor giant finished the quarter ending September with 7.99 million customers. Meralco anticipates to hit the 8-million mark by this month.

Geluz also said the commercial segment would likewise provide a push, as warmer temperatures would prompt big operators to use cooling equipment.

Industrial demand

The industrial segment, meanwhile, may record a “modest growth,” he added.

Meralco’s franchise area covers Metro Manila, Bulacan, Cavite, Rizal and select areas in Pampanga, Laguna, Batangas and Quezon.

The group reported a record nine-month performance, with its core net income growing 17 percent to P35.1 billion against the P30 billion booked in the same period last year.

Meralco’s distribution business provided the largest chunk, contributing 59 percent, or P20.5 billion to the bottom line. Power generation came next with P8.9 billion, while retail electricity supply operations and nonelectricity businesses chipped in P5.7 billion.

Consolidated revenues also went up 6 percent to P355.4 billion.

Tycoon Manuel V. Pangilinan, the group’s chair and chief executive, expects Meralco to exceed the P43-billion income target it set for the year. INQ