MANILA, Philippines - Manila Electric Co. (Meralco) wants the Power Sector Assets and Liabilities Management Corporation (PSALM) to return P9.1 billion it had "overcharged" Meralco customers.
Meralco said the amount involves "line loss components" of line rentals which PSALM included in its transition supply contract with Meralco.
Meralco submitted the petition for refund to the Energy Regulatory Commission.
If approved by the ERC, the refund will mean a reduction in electricity bills of around 5 million Meralco customers.
An earlier ruling by the ERC showed that "double charging or overcharging of transmission line cost may have occurred or still occurring." It asked Meralco to provide a calculation of the "overcharged costs."
The ERC had also found "double charging in transmission line costs for transition supply contract quantities for the preceding months up to the start of the WESM (Wholesale Electricity Spot Market) Luzon commercial operation on June 26, 2006."