SURIGAO del Sur Rep. Johnny Pimentel, vice chairperson of the House committee on legislative franchises, has berated Manila Electric Co. (Meralco) for imposing a “convenience fee” of P15 per transaction on customers who pay their monthly electricity bills using the company’s online portal.
“Meralco is nickel-and-diming its 7.9 million customers with the extra charge on top of their actual electricity bills,” Pimentel said.
The phrase “nickel and dime” refers to a pricing scheme wherein a business collects extra small fees (for supposed additional features or services) that can tally up to a lot of money over time.
“Meralco claims that the convenience fee goes to its payment partner, CIS Bayad Center Inc. However, Bayad Center, which is engaged in the bills payment collection business, is actually 95 percent-owned by Meralco itself,” Pimentel said.
“Thus, there is no separate Meralco partner. It is Meralco itself ultimately collecting the convenience fee,” Pimentel pointed out.
Meralco customers who use the company’s online portal to view and pay their monthly electricity bills have surged since the pandemic.
Pimentel urged the Energy Regulatory Board to compel Meralco to get rid of the convenience fee, which he said “has become an inconvenience to customers” that are reeling from elevated electricity bills and rampant inflation.
“We must stress that under the Consumer Act, the State is duty-bound to safeguard the interest of consumers, promote their general welfare, and to establish standards of conduct for business and industry,” Pimentel said.
Pimentel’s dressing-down of Meralco comes at a time when the electric utility is seeking to renew its congressional franchise for another 25 years.
Meralco netted P38.8 billion in profits in 2023, up by 36 percent from P28.6 billion in 2022, according to Philippine Stock Exchange filings.
From January to March 2024, Meralco reported another P9.8 billion in profits, up by 20 percent from P8.2 billion in the same quarter in 2023.
