The National Electrification Administration (NEA) has revealed that 90 out of 121 electric cooperatives nationwide—roughly 74%—offer cheaper electricity rates compared to the Manila Electric Company (Meralco), the country’s largest power distributor.

According to NEA Administrator Antonio Mariano Almeda, this remains true despite Meralco’s operations in urban centers with advanced infrastructure, while most cooperatives serve far-flung areas with fewer financial and operational resources.

From January 2024 to June 2025, NEA’s comparative analysis showed that these cooperatives maintained power rates that were ₱1.00 to ₱4.00 per kilowatt-hour (kWh) lower than Meralco’s. Many of these cooperatives operate in provinces within BARMM, CARAGA, the Cordillera Administrative Region, and Regions 3, 5, 7, 9, 11, and 12.

“This is something that deserves commendation. The electric cooperatives have proven that they can offer more affordable electricity to Filipino consumers even compared to Meralco,” Almeda said in a radio interview.

Meralco has long faced criticism from consumer advocacy groups and energy watchdogs over its high rates. In July, it implemented another increase of ₱0.4883 per kWh, pushing its overall rate to ₱12.6435 per kWh—the highest in Southeast Asia.

This issue is not new. In 2023, PHILRECA Representative Presley De Jesus questioned why smaller cooperatives could maintain lower rates despite limited resources.

“If we compare to Meralco, these cooperatives are so small. Meralco holds essentially a mega franchise with the largest captive market,” De Jesus said.

He argued that with Meralco’s wide customer base and modern facilities, rates should be lower instead of rising continuously.

Currently, Meralco serves about 8 million customers in 39 cities and 72 municipalities.