ERC orders Meralco to refund P9.5 billion to customers

The Energy Regulatory Commission has ordered Manila Electric Company (Meralco) to refund 9.51 billion pesos to its customers after the utility collected more revenue than it was authorized to charge during 2025. The commission's decision, dated July 31 and made public on August 2, directs the country's largest power distributor to return the funds over a six-month period.

The refund stems from a regulatory adjustment for the period from January through December 2025, a time when Meralco continued to bill customers using its existing distribution rates while awaiting the commission's approval of updated tariffs for a new regulatory period. This "lapsed period" resulted in the company collecting excess revenue, which the regulator has now mandated be returned with accrued interest. The total refund amount is 9,506,566,556 pesos.

Meralco stated it will fully comply with the order. The refund will appear as a separate line item labeled "AWAT Refund-Collect" on customer bills, beginning in the upcoming billing cycle once the company formally receives the ruling. The average refund rate across all customer categories is 0.3448 pesos per kilowatt-hour. Residential customers will...