The Philippine Competition Commission (PCC) fined Pilipinas Enterprise Management Holdings Inc. (PEMHI) and Meralco PowerGen Corp. (MGen) P5.8 million for repeatedly missing reporting deadlines tied to their merger clearance, underscoring the regulator’s tougher stance on compliance with post-merger commitments.
MGen paid the full penalty on October 16, 2026, with the proceeds remitted to the Bureau of the Treasury.
The PCC found the companies solidarily liable for three violations of Section 29(b) of the Philippine Competition Act involving delayed submissions of electricity market reports from Global Energy Supply Corp., a retail electricity supplier under PEMHI.
Reports covering the first, second and third quarters of 2025 were submitted 215 days, 126 days and 34 days late, respectively.
Under the merger undertaking, PEMHI and MGen were required to submit copies of Comparative Retail Electricity Market reports to the PCC’s Mergers and Acquisitions Office within 15 days after the end of each calendar quarter. The reports are also submitted to the Energy Regulatory Commission (ERC).
The commitments were among safeguards imposed to address competition concerns arising from a power-sector acquisition involving MGen, Therma NatGas Power Inc., Chromite Gas Holdings Inc. and San Miguel Global Power Holdings Corp.
The PCC rejected explanations citing oversight, human error and misunderstanding, ruling that flexibility under ERC resolutions did not override the deadlines set in the companies’ voluntary undertaking.
“Voluntary commitments submitted as a condition for merger approval are binding obligations that must be fulfilled in good faith,” PCC Chairperson Michael Aguinaldo said.
He said reporting delays could weaken the commission’s ability to monitor transactions and enforce safeguards, particularly in priority sectors such as energy.
The penalty signals that merger approval does not end regulatory scrutiny. Companies that secure clearance subject to behavioral or reporting commitments remain accountable for meeting those obligations on time.
