By Juzel L. Danganan
MANILA, Feb 23 (PNA) — The Manila Electric Company’s (Meralco’s) energy sales went up by 3.2 percent in 2014 from 34,084 to 35,160 Gigawatthours (GWh) in 2013.
”The 2014 results reflect the combined impact of the increase in consolidated electricity sales volume to 35,160 GWh, higher by three percent over 2013, due largely to the combined commercial and industrial volumes of Meralco and (its subsidiary) Clark Energy Development Corporation,” Meralco said in a press statement.
The distribution utility said the growth brought by the two firms increased its customer base by 4 percent, equal to an added customer count of 200,000 from 5.4 million to 5.6 million customers in 2014.
It contributed to Meralco’s consolidated electricity revenues by Php 261.7 billion for 2014, lower by 11 percent last year.
Meanwhile, the firm’s distribution revenue was stable year-on-year at Php 56.4 billion.
Specifically, the industrial customers of Meralco went up by 4.2 percent, commercial up by 3.9 percent and households by 3.9 percent.
Its peak demand also increased by 3.3 percent from 5,928 Megawatts (MWs) in 2013 to 6,121 MW in 2014, while Luzon’s total demand increased by 5 percent from 8,305 MW to 8,717 MW.
”Growth in peak demand in 2014 of 3.3 percent in the Meralco franchise area to 6,121 MW and 5 percent in the Luzon grid to 8,717 MW has not been matched with the entry of new generating capacity, adding pressure on power supply and reserves in 2015,” Meralco President and Chief Executive Officer (CEO) Oscar Reyes said.
Reyes said Luzon grid’s demand skyrocketed due to the growth in cities and municipalities outside its franchise.
Meralco’s delivered energy also went up by 2 percent to 37,578 GWh in the Luzon grid.
Reyes said the distribution charge for this year will amount to Php 1.56 per kilowatthour (kWh). He noted it has been decreasing since last year from Php 1.66 per kWh.
Relatively, the distribution utility’s core net income was significantly higher by 6 percent, from Php 17 billion in 2013 to Php 18.1 billion in 2014.
Meralco’s net income was reported at Php 18.05 billion in 2014 from 17.21 billion in 2013, increasing by 5 percent.
It stressed customers saved Php 4.56 billion from the generation charge in 2014, brought by the price cap and the price threshold mechanism (PTM) at the Wholesale Electricity Spot Market (WESM).
Reyes mentioned the generation charge fell by 1 percent from 2013.
The Manila Electric Company is the largest distribution utility in the country, with its franchise distributing power to a huge part of Luzon. (PNA)