THE Manila Electric Company (Meralco) has emerged as the most qualified entity to partner with the two electric cooperatives in the province of Batangas, in a bid to ensure the uninterrupted development of cities and municipalities under the coverage areas of these distribution utilities.
In recent months, Meralco submitted an unsolicited proposal to Batangas I Electric Cooperative (BATELEC I) and Batangas II Electric Cooperative (BATELEC II) for a joint venture aimed at strengthening their operational capacities and addressing the steadily increasing electricity demand in the region.
According to Atty. Arnel Paciano Casanova, Chief External and Government Affairs Officer of Meralco, the proposed partnership seeks to modernize the infrastructure of the two cooperatives through the integration of advanced technologies. These enhancements are intended to significantly reduce power interruptions and minimize system losses.
In 2024, BATELEC I and BATELEC II recorded system losses of 11.61% and 9.68% respectively, in stark contrast to Meralco’s 5.99%. In terms of service reliability, Meralco posted a System Average Interruption Frequency Index (SAIFI) of only 1.04, compared to 9.12 for BATELEC II and 7.14 for BATELEC I.
Casanova emphasized that no jobs would be lost among the current employees of the cooperatives should the joint venture proceed. On the contrary, he stated that the proposed partnership would open up more employment opportunities and improve employee benefits.
He further highlighted that a reliable power supply is critical to industrial development, attracting investments, and generating employment opportunities in the province.
The proposal also includes the expansion of energy infrastructure to meet the growing demand, particularly in key economic zones and industrial areas that serve as major employment hubs for Batangas residents.
Recent data shows continued economic growth in the CALABARZON region. From a Gross Regional Domestic Product (GRDP) of PHP 3.10 trillion in 2023, the region’s economy expanded to PHP 3.27 trillion in 2024, representing a growth rate of 5.6%.
CALABARZON remains a key contributor to the national economy, accounting for approximately 49% of total industrial output. Experts suggest that this figure could rise further with improved and stable electricity supply in key provinces such as Batangas—strategically located near Metro Manila and home to a major seaport for export activities.
Notably, areas served by Meralco typically exhibit both strong power infrastructure and robust economic activity.
Meralco currently serves over 8 million customers across Metro Manila and adjacent provinces. Its coverage includes 36 cities and 75 municipalities in Metro Manila, Bulacan, and CALABARZON.
In Batangas, Meralco’s service area includes Batangas City, Sto. Tomas City, the municipality of San Pascual, and portions of Tanauan and Nasugbu.
Meanwhile, BATELEC I covers Calaca City and the municipalities of Agoncillo, Balayan, Calatagan, Lemery, Lian, Nasugbu, Taal, Tuy, San Luis, and San Nicolas. BATELEC II serves Lipa City, Tanauan City, and the municipalities of Alitagtag, Balete, Cuenca, Laurel, Lobo, Mabini, Malvar, Padre Garcia, Rosario, San Jose, San Juan, Talisay, and Taysan.
Other power distributors in the province include First Bay Power Corporation, which serves Bauan, and Ibaan Electric Corporation, which serves Ibaan.
From 2018 to 2023, the average GRDP growth rate in CALABARZON was recorded at 2.72%. Among the provinces, Quezon led with a 3.12% growth rate, followed by Batangas at 3.10%, Cavite at 2.68%, Rizal at 2.58%, and Laguna at 2.47%.
It is also observed that large businesses and industrial developments tend to flourish in areas with stable power supply, such as Batangas City, Sto. Tomas, and San Pascual—underscoring the critical role of reliable electricity in regional development.
Although Lipa City and Malvar are part of BATELEC II’s franchise area, the Lima Estate economic zone operating within these localities is currently serviced by Lima Enerzone.
Meralco’s legislative franchise is valid until 2053. In contrast, BATELEC II’s franchise is set to expire in 2030, while BATELEC I’s will end in 2028.| – BNN Integrated News
