Chel Diokno hits Meralco over reply on lifeline rate issue

AKBAYAN Partylist Representative Chel Diokno has criticized power distributor Meralco’s recent response regarding the lifeline subsidy, stating that the company completely failed to address the core of his concern.

In a social media post shared this afternoon, Diokno clarified that his issue is not whether passing on costs to consumers is legal, but whether such a practice is fair and reasonable given the current economic situation.

“I am not questioning if it is legal to charge consumers for ‘pass-through costs’ — my question is whether it is just,” Diokno emphasized. He pointed out the stark contrast between the company’s financial performance and the struggles of ordinary Filipinos, noting that Meralco recorded ₱50 billion in profits in 2025 alone and already earned ₱11 billion during the first quarter of 2026. Against these figures, the amount needed to sustain the lifeline rate — a discount program intended to help low-income households — is described by the lawmaker as mere “small change” for the giant utility firm. According to him, the cost could easily be covered from the company’s earnings, over-recoveries, or allowed returns as a distribution utility.

Diokno also stressed that Meralco is no ordinary business but a regulated monopoly operating under a franchise granted by Congress. This special status, he argued, comes with the responsibility to serve public interest. “If they refuse to give back in return for this privilege, it is time to review the Electric Power Industry Reform Act (EPIRA) and the rules of the Energy Regulatory Commission (ERC),” he said.

For Diokno, the goal of any review should be to ensure that the country’s power system is not only legally compliant but also equitable and designed for the welfare of the people. His statement highlights growing calls to balance corporate interests with the need to keep electricity affordable and accessible, especially for vulnerable consumers hit hard by rising prices.