Congress passed it, the Energy Regulatory Commission (ERC) enforces it, and Meralco simply collects it — that is the straightforward reality behind the lifeline rate charge that has been drawing viral outrage on social media.
Meralco Vice President and Corporate Communications Head Joe Zaldarriaga clarified in an interview on DZRH News program Special on Saturday on April 25 that the charge is mandated by Republic Act 11552, also known as the Expanded Lifeline Rate Law — not a company decision.
“Mandated ito sa ilalim ng batas. There is an enabling law na nakapaloob dito,” Zaldarriaga explained.
Republic Act 11552, or the Expanded Lifeline Rate Law, was signed into law in 2021 by then-President Rodrigo Duterte, expanding and strengthening the original lifeline rate program that had been in place for years across the Philippine power industry.
Under the law, low-income households consuming between zero and 50 kilowatt hours monthly — specifically 4Ps members and those with Social Welfare and Development Office (SWDO) certification — receive discounts of up to 100% on their electricity bills, while those consuming between 51 and 100 kilowatt hours are entitled to discounts of 20 to 35% depending on usage.
Zaldarriaga was firm that Meralco cannot place any charge on customer bills without ERC approval.
“Wala kaming pwedeng ilagay sa bill dahil regulated kami na walang approval ng regulator,” he said, adding that any unilateral action would constitute a violation of the law.
The lifeline rate collection is not exclusive to Meralco — all distribution utilities and electric cooperatives across the country are required to implement the same subsidy under the same law.
For the average household consuming 200 kilowatt hours monthly, the actual cost of funding the subsidy amounts to just two pesos — one centavo per kilowatt hour.
Zaldarriaga appealed for public understanding, noting that the charge ultimately goes not to Meralco but to fellow Filipinos who cannot afford to pay their electricity bills.
