Meralco sees Q1 power sales increasing by 9% amid hot weather

By Alena Mae S. Flores – March 25, 2024, 8:50 pm
from manilastandard.net

Power retailer Manila Electric Co. is looking at a 9-percent sales volume growth in the first quarter of 2024 from a year ago, driven by higher temperature and increased economic activity.

“Though we are not done with March yet, it seems we are tracking 9-percent increase in Q1 2024 versus Q1 2023….mainly driven by residential and commercial segments. Industrial is also showing signs of recovery, though a bit modest,” Meralco senior vice president and chief revenue officer Ferdinand Geluz said.

Geluz said warm temperature amid the El Nino dry spell and the resumption of face-to-face classes and work arrangements also supported the growth of hotel, real estate and restaurant sectors.

“And since it’s a leap year, we benefit from additional billing for March cycle,” the executive said.

Geluz said the first-quarter sales volume growth in 2023 was “relatively low”, or almost flat compared to 2022, with the residential segment even showing a decline in demand.

Meralco posted full-year energy sales volume growth of 4 percent in 2023 to 51,044 gigawatt-hours from 48,916 GWh the previous year.

The commercial segment maintained the largest share in the sales mix, increasing to 37 percent from 36 percent previously. Residential share remained at 35 percent, while industrial segment’s share slightly dipped from 29 percent to 28 percent.

Meralco’s consolidated customers rose 3 percent to 7.8 million from 7.6 million.

The company allotted P30 billion for capital expenditures in 2023, of which 67 percent or P20.2 billion was utilized for network spending that covered new connections, asset renewals and load growth projects and pole relocation works to support various government infrastructure projects.