MANILA, Philippines — Manila Electric Co. (Meralco) is anticipating a stronger performance in its power distribution business starting in the second quarter of 2026, as weather conditions shift and the real estate market adjusts to major structural changes.
- Weather Patterns: Meralco Senior Vice President Ferdinand Geluz noted that the first quarter of 2026 remains “a challenge” due to lingering La Niña conditions. Above-normal rainfall and tropical cyclones typically lead to lower electricity consumption as temperatures remain cooler. However, a recovery is expected in Q2 as warmer weather sets in.
- Real Estate Recovery: The company is optimistic that residential condominiums and office spaces previously occupied by Philippine Offshore Gaming Operators (POGO) will gradually be filled. The POGO sector, once a major power consumer, exited the country last year, but Meralco expects new tenants to offset this loss.
- Annual Target: Despite a slow start to the year, the Pangilinan-led power distributor is maintaining a target of approximately 3 percent growth in energy sales for the full year of 2026.
This outlook follows a strong 2025, where Meralco successfully hit its ₱50-billion core profit target. To ensure service reliability during the expected Q2 surge, Meralco crews are currently conducting extensive maintenance operations across its franchise area.