Manila Electric Co. (Meralco), the Philippines' largest power distributor, reported a 1.8% decline in its consolidated energy sales for the first quarter of 2026. Sales dropped to 12,273 gigawatt-hours from 12,493 GWh a year earlier, attributed to a combination of cooler weather and broader economic challenges.
Charina Padua, senior vice president and head of Customer Relations & Services at Meralco, noted that consumption weakened across all customer segments during the January-March period. "Lower temperatures reduced organic demand, partially offsetting the contribution of new connections," she explained. The milder weather particularly decreased household usage of heating, ventilation, and air conditioning systems.
"Demand from the industrial sector likewise went down due to operational constraints and macro headwinds," Padua added, citing impacts on steel and plastics production and limited output from embedded generators.
Ferdinand Geluz, senior vice president and chief revenue officer, linked the sales dip to lingering La Niña conditions, which can bring above-normal rainfall and increased tropical cyclones, leading to reduced electricity consumption. Despite the quarterly setback, Geluz expressed optimism for a rebound in the second quarter as La Niña effects fade. He also pointed to the anticipated recovery of the real estate sector following the exit of Philippine offshore gaming operators as a potential boost to energy demand.
Meralco, which serves over 8.2 million customers in Metro Manila and surrounding provinces, maintains its full-year 2026 target of 3% sales growth. In related developments, the company continues to pursue partnerships with power cooperatives in Batangas and General Santos City to modernize local networks, though these efforts have faced delays due to what officials describe as "political interference."