Labor Center scores Meralco attempt to increase electricity rates

The Kilusang Mayo Uno (KMU) Labor Center scored the petition of Manila Electric Company (Meralco) submitted to the Energy Regulatory Council (ERC) to once again increase rates on electricity and dubbed the move as “bleeding the consumers dry.”

“Prices of electricity in the Philippines is one of the highest in Asia that is why Meralco posted a PhP 2.34 billion (USD 51,047,120) profit for the first half of the year, a five fold increase compared to PhP 367 million (USD 8,006,108) of the same period last year. Ordinary consumers and even business are already reeling from the high rates but Meralco wants to further bleed us dry,” said Elmer Labog, National Chairperson of the KMU.

According to Labog, floods and drought have pressured prices to go up while wages of workers remain very low. “The Department of Trade and Industry (DTI) have recorded price increase in rice, vegetables and milk and with another round of increase in electricity, life will be more miserable for ordinary Filipinos."

“Any monetary reimbursement made to the public by Meralco due to their illegal billing under the Purchased Power Adjustment (PPA) is being recovered through other charges imposed on the consumer, like the System Loss charge and Transmission charge. They gave us back our finger but Meralco wants our whole arm in return,” opined Labog.

PhP 12 wage hike already gone

“Price increases in rice, vegetables and milk have already evaporated the miniscule PhP 12 wage hike even before it reached the pockets of minimum wage-earners which will be in effect come August 28, 2007. The amount was too little, too late," stated Labog.

The labor leader vowed to push for the revival PhP 125 legislated across the board wage hike for private workers and the PhP 3,000 legislated across the board salary increase for government employees through Congress.