The Energy Regulatory Commission (ERC) said the Manila Water Co., Inc. has become the first company to switch its facilities to the contestable market under the expanded Retail Aggregation Program (RAP). This program allows businesses with power demand below the 500-kilowatt (kW) threshold to aggregate their loads and select their own electricity supplier, potentially reducing power costs.
Manila Water aggregates the demand for ten of its facilities, including its sewage treatment plants in the Meralco franchise area, meeting the 500kW threshold required for Retail Competition Open Access (RCOA). This allows the company to negotiate power rates, offering an opportunity for lower energy costs and more customer control over their power choices.
Jocot de Dios, Manila Water president and CEO, emphasized the significance of the switch, not only in securing cost-effective energy for the company’s operations but also contributing to a more competitive and sustainable energy market in the Philippines.
In addition, Manila Water is progressing with a partnership with Meralco subsidiary MSpectrum, focusing on solar power projects that further reduce its reliance on grid electricity. The first phase of the project, beginning in the first quarter of 2025, will add 4.271 MW of solar capacity, cutting both costs and carbon emissions.
ERC chair Monalisa Dimalanta highlighted the significance of Manila Water’s move, anticipating that other companies will follow suit, leading to further development of retail market competition in the energy sector.
