Meralco’s 2024 sales growth forecast bumped up to 6.3%

Pangilinan-led Manila Electric Co. (Meralco) expects a higher top line for full-year 2024 operations as the intense heat experienced earlier this year as well as increased commercial activities helped jack up electricity consumption.

Ferdinand Geluz, senior vice president and chief revenue officer of Meralco, said the power distribution giant is seeing a better projection of a 6.3-percent growth for this year from an earlier forecast of 4.7 percent.

Geluz said consolidated sales volume may hit 54.26 million kilowatt-hours (kWh) from last year’s 51.04 million kWh. The projected figure was even higher than its target of 53.47 million kWh.

The SVP said that the residential segment continues to be a growth driver, especially as Meralco has exceeded during this quarter the eight-million mark in its customer count.

“Sustained new account energization brought in additional sales… Also, higher per capita consumption was observed as an effect of the El Niño phenomenon observed for most of 2024,” he told reporters.

Geluz said that during the warmest months of the year, the Meralco recorded greater usage of air-conditioning units and other cooling equipment.

Delivery charge

He also attributed the upward revision in the forecast sales growth to the strong performances of the retail, real estate, and hotels and leisure businesses.

“On the other hand, industrial remained flattish as the modest increase in (in power consumption in the sectors of) semiconductors, food and beverage, and plastics were offset by the decline in steel and wheeling from embedded generation,” he added.

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In the electricity business, wheeling refers to the delivery of energy from the generators to customers through the transmission and distribution systems.

Geluz said the final sales numbers will be known in January.

Meralco’s franchise area covers Metro Manila, Bulacan, Cavite, Rizal, and select areas in Pampanga, Laguna, Batangas and Quezon.

In the January-September period, Meralco saw a record performance with its core net income posting a growth rate of 17 percent to P35.1 billion against the P30 billion booked in the same period last year.