Meralco to invest P10B in emergency CAPEX

The Manila Electric Co. (Meralco) plans to use its P10-billion allocation for emergency capital expenditures (capex) as its capex this year.
Meralco president and chief executive Oscar Reyes said in a press briefing that the capex is needed to beat “customer and demand growth.”
Reyes said the company hopes the Energy Regulatory Commission (ERC) will approve its proposed P18-billion capex, which was filed in February 2015.
He pointed out the commission likely wants to review their expenditures properly.
The president, however, said the climate resiliency projects for its facilities will be at risk.
Meralco chairman Manuel Pangilinan stressed the emergency capex will likely be sufficient for the year.
“If the emergency capex is up to P10-billion and we spent P11-billion last year — it’s tight but can be done,” he said.
The chairman also stressed the booming economy needs to be supported with power supply.
“The good news is that the economy is growing. We have to make sure that we have the supply. It hinges on the CAPEX as well,” Pangilinan said.
He also pointed out the second half of 2016 will likely follow the trend last year, with power demand increasing due to the completion of construction projects.
Meralco operates in Luzon, with 5.8 million customers in its franchise area. (PNA)