The Manila Electric Co. (Meralco) is setting aside a hefty P70 billion for infrastructure upgrades and the rollout of smart meters over the next five years, as the utility company focuses on improving grid resilience and operational efficiency.
Froilan Savet, Meralco first vice president and head of networks, revealed the capital expenditure (CapEx) breakdown in a statement to reporters. Of the total investment, P30 billion is dedicated to enhancing infrastructure resiliency and storm-hardening efforts, while P40 billion is for the deployment of some four million smart meters between 2025 and 2029.
Meralco’s emphasis on infrastructure hardening comes as the Philippines continues to face recurring typhoons that historically disrupt power services. Apart from storm resiliency, the company plans to invest in other network improvements, including asset renewal, system upgrades, and relocating poles affected by government and public-private partnership projects.
“The investment is critical as we continue to fortify our network against natural calamities and improve service reliability for our customers,” Savet said.
The smart meter rollout is expected to begin in 2025, subject to approval by the Energy Regulatory Commission (ERC). The first phase of the initiative, spanning from 2025 to mid-2026, involves the installation of approximately 390,000 smart meters, estimated to cost P4.56 billion. The meters enable real-time monitoring of energy consumption, allowing consumers to better manage their electricity use while also enhancing grid stability.
Smart meters are part of Meralco’s broader push to modernize its infrastructure and improve customer service. By providing digital, real-time data, the meters help consumers monitor their consumption, reduce wastage, and ultimately lower energy costs. Additionally, smart meters will allow Meralco to more accurately track energy consumption, reducing the risk of billing discrepancies and enhancing operational efficiency.
Savet also said that Meralco will roll out a mobile medium-voltage switchgear next year for contingency purposes, further improving the company’s response capability in case of emergency.
In a bid to strengthen its smart metering efforts, Meralco signed a memorandum of understanding with Korea Electric Power Corp. (KEPCO) and its Knowledge Data Network in November. This partnership aims to accelerate the use of smart metering technologies and improve grid reliability, with emphasis on training and knowledge sharing between the parties.
Meralco has been integrating smart metering technologies into its distribution network since 2011, progressively expanding its use to enhance operational efficiency and improve service reliability for its eight million customers.
