Senator Hontiveros: ₱14B Meralco refund 'loose change compared to what consumers truly deserve'

Senator Risa Hontiveros has welcomed the Energy Regulatory Commission’s (ERC) order directing Meralco to refund ₱14.17 billion to consumers. However, she expressed that this amount is insufficient, characterizing it as "loose change" in comparison to estimated "overcollections."

“It’s good that there’s a refund order, but let’s not be taken for a ride as consumers,” Hontiveros said in a news release posted on the Senate of the Philippines website.

“Until the full ₱100 billion in overcollections is returned, all these refunds remain incomplete. That ₱14.17 billion refund is just loose change compared to what consumers truly deserve,” she said.

The senator recently noted that the ERC has clarified that the ₱14.17 billion refund is not a new allocation. Instead, it represents the remaining balance from the ₱19.96 billion refund previously ordered in 2025.

“This means there has long been money that should have gone back to consumers. Yet until now, we are still waiting,” she stressed.

According to Hontiveros, advocates have estimated Meralco’s allged "overcollections" at ₱100 billion.

These concerns stem from several key issues, including the high weighted average cost of capital (WACC), the alleged overstatement of the utility’s regulatory asset base (RAB) to justify higher charges, and the potential double counting of inflation since 2012.

"Mapa P14.17 o P19.96 billion,  ang layo niyan sa P100 bilyon ang totoong halaga ng overcollection ng Meralco, na ayon sa mga advocates, ay mula sa high weighted average cost of capital (WACC), alleged overstatement of Meralco’s regulatory asset base (RAB) to justify higher charges, and possible double counting of inflation since 2012," Hontiveros stated.

Hontiveros urged the ERC to conduct a full, independent, and comprehensive review of Meralco’s practices and rates, and to order the complete refund of excessive charges.

“Every day that Meralco fails to return what it has overcollected, households are forced to adjust their expenses. Consumers are always the ones waiting and adjusting,” she said.

She criticized the disparity betwen Meralco’s billing practices and its refund schemes: “Refunds are staggered, but the massive rate hikes are imposed all at once. The system should not work that way.”

“Before any new charges are added, the excess collections must first be returned and billing practices corrected,” Hontiveros added.

-Paraluman News