House adopts Senate version of new Meralco franchise bill
MANILA, Philippines — The House of Representatives has adopted the Senate’s version of House Bill (HB) No. 10926 which seeks to give the
During the session on Tuesday, the House moved to adopt the Senate version, which means it will be now forwarded to President Ferdinand Marcos Jr.’s office for his signature.
The House approved on third reading HB No. 10926 last November 26, 2024, while the Senate gave its nod on Monday.
HB No. 10926 is the consolidated version of three House bills namely, HB No. 9793 authored by Albay 2nd District Rep. Joey Sarte Salceda; HB No. 9813 authored by ; and HB No. 10317 authored by Marinduque Rep. Lord Allan Velasco.
According to Salceda, the adoption of the Senate version signals security in the power industry, as the country can avoid long blackouts.
Article continues after this advertisement“In the 1990s, Luzon blackouts would last for as long as ten hours. At its peak in 1993, the power crisis resulted in as much as 258 days of blackouts and brownouts. That was the situation Meralco fixed with the franchise we are renewing tonight,” Salceda said.
Article continues after this advertisement“I estimated that, if Meralco were the electric distribution utility for the whole country, as much as P205 billion in additional economic output would be created from avoided blackouts. Its rates are purely passed on based on what the ERC allows. It has refunded everything the government has ordered it to refund. Its coverage is sought by at least two dozen LGUs outside its coverage area,” he added.
Meralco’s new franchise is being proposed even with over three years left before its previous franchise ends.
According to business groups and lawmakers supportive of the bill, the new franchise will ensure economic stability as it would allow the company to continue operating and serving households and vital industries.
Last August 13, Salceda said Meralco’s franchise bill might be the most important proposal in Congress regarding the
However, minority lawmakers, like ACT Teachers Partylist Rep. France Castro, have asked whether Meralco has already addressed several concerns raised against the service provider.
Castro also asked whether there is a real public clamor for a new Meralco franchise considering that the current franchise would expire only by 2028.
According to Castro, the franchise renewal process should be transparent, adding that a comprehensive review of Meralco’s performance is needed.
