Over 1.2-M Meralco customers face add’l bill deposit dues

Rappler.com

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About 1.239 million Manila Electric Co. (Meralco) will be asked to pay unsettled portions of their bill deposits starting this October

MANILA, Philippines – A quarter of the almost 5 million customers of Manila Electric Co. (Meralco) will be asked to pay unsettled portions of their bill deposit, an official of the power retailer said.

Joe Zaldarriaga, Meralco’s corporate communications manager, said these bill deposit payables — or refunds, in the case of others — will be reflected in the residential customers’ electricity bill starting this October.

Moving forward, bill deposits will then be updated annually, and will kick off with customers whose anniversary of connection service falls in October.  

A bill–or security–deposit is equivalent to one month’s billing and payable every year. Zaldarriaga said this is the first time Meralco will update its customers’ bill deposits, which is allowed by the Energy Regulatory Commission (ERC) under the Magna Carta for Residential Electricity Consumers.

For example, if a customer paid a bill deposit of P1,500 when he had his electricity connection installed, he could expect to see P500 added to his next bill when his average monthly consumption for the past 12 months reaches P2,000.

On the other hand, he could expect a refund of P500 if his average monthly consumption for the past year is only P1,500.

Based on Meralco’s computations, Zaldarriaga said the breakdown is as follows:

  • about 1.239 million customers due for additional bill deposits
  • another 1.239 million customers are to be refunded for the excess in bill deposits
  • remaining 2.478 million customers will not be refunded or charged additionally for their bill deposits



“Though nothing has been finalized at the moment, we still would like to assure our customers that we are coming up solutions to ease this additional burden. One of which that is considered, it allowing customers to stretch the payment period for these additional bill deposits,” Zaldarriaga said.

Magna Carta

Distribution utilities are allowed to require bill deposits from their customers as security, according to ERC executive director and spokesperson Francis Saturnino Juan.

Juan noted that the collection of bill deposits have been in place for decades.
 
Article 28 of the Magna Carta for Residential Electricity Consumers states, “A bill deposit from all residential customers to guarantee payment of bills shall be required of new and/or additional service.

The Magna Carta also states, “In cases where the customer has previously received the refund of his bill deposit, and later defaults in the payment of his monthly bills, the customer shall be required to post another bill deposit with the distribution utility and lose his right to avail of the right refund his bill deposit in the future until termination of service.

The Magna Carta notes that failure to pay the required bill deposit shall be a ground for disconnection of electric service. – Rappler.com

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