Every part of your Meralco bill explained

Going through your monthly Meralco bill is crucial because you need to pay your utilities. However, it is not the best thing you hope to see on a regular basis. It can even be surprising or overwhelming, especially if you get a higher-than-expected bill than the previous month.

However, it’s also essential to understand the details in your Meralco electricity bill, just like how you’d like to know if your credit card bill’s information or grocery store receipt is correct.

I remember when the old Meralco bill design seemed too plain, and the details were all over the page. Looking at that paper was already enough to cause me a headache even before seeing how much I needed to pay.

In this post, let’s try to break down the important details, as well as the newer features you can find in your monthly electricity bill, so you’ll not be surprised when it comes, and you don’t like the figures on it.

What changed with your Meralco bill?
The crucial billing details
Remaining balance from previous bill
Your billing details
Your electric consumption details
Your monthly consumption
Environmental impact information
Meralco Customer Account Number (CAN)
Breakdown of charges
What’s on the back of your Meralco bill?
What are the factors affecting your electricity bill?

What changed with your Meralco bill?

The Meralco electricity bill had a major redesign in 2021, which aimed to improve its readability and transparency between Meralco and its consumers by adding better graphics, bigger fonts, eye-catching colors, and other details.

To improve its readability, Meralco changed the page size to 8” x 11”, which is close to the size of a short bond paper. However, you can also enroll in Meralco’s Paperless Billing service and opt out of its paper bills.

To be fair, the changes in the bill’s design are a welcomed change from its previous design, which was dull and confusing. The re-design of the Meralco bill is similar to the redesign of the energy labels we see on brand-new refrigerators and aircon units.

The crucial billing details

Let’s start with the basics. The most important details you need once you get your Meralco bill are your customer account number, the amount you need to pay, and the due date. Now, you can easily spot them on the upper right-hand side of the bill inside a sky-blue box.

You can see that the numbers are printed using a larger font so that it’s easier to read. It also pops up due to the colored box, so getting your attention is easier.

Customer Account Number (CAN) – this is a ten-digit number you can use to pay through any of Meralco’s authorized payment partners. This is important, especially if you live in an apartment complex with several tenants, to avoid paying for other people’s bills. You will also see this detail at the bottom part of your bill.
Amount – below “Please Pay” is your billed amount for the previous cycle you need to pay to Meralco. This amount is computed based on your consumption plus the taxes and fees Meralco passes to customers.
Due Date – this shows the last day you’re allowed to settle your bill without incurring any penalties. Failure to pay after Meralco’s grace period may result in disconnection. So, if you can pay it immediately, pay it and avoid overdue penalties and disconnection.

Remaining balance from previous bill

For some families, paying their bills on time can be challenging, and they may miss a payment. If that happens, they will see their balance from the previous bill just underneath the sky-blue box.

For instance, this example bill shows that the owner of the house has a bill of PHP 3,364.86. However, PHP 1,646.48 is due to late payments. So, the “Please Pay” is the sum of the previous and current billing, showing that their bill for the current period is only PHP 1,718.38.

Your billing details

On the upper left-hand side of the bill is your home’s location and other Meralco-specific details, like the meter number. This detail is crucial if you are renting in a sub-metered apartment complex.

Your electric consumption details

Below your billing details is the “Your electric bill” section, showing you the specifics of your bill, including the billing period, date of metering, readings, consumption, and the electricity rate for the month.

Billing Period – this is the inclusive date of your electricity bill, approximately 30 days from the start and end of your billing cycle.
Date of Meter Reading – the day when your meter was read by Meralco and “locks in” your consumption’s computation.
Customer Type – this should be “Residential” if you live in a residential apartment. Otherwise, this will be “Business,” which has a different computation.
Actual Consumption – this will be your total kilowatt-hour (kWh) consumption, the difference between the current and the previous meter reading.
Your rate this month – your electricity rate changes from month to month depending on several factors, like the current rates of the generation companies supplying electricity.

Note: Multiplying your actual consumption by the current rate of the month should give you your total bill amount for the current billing period.

Your monthly consumption

The monthly consumption chart is not new and was already included in the pre-2021 bills. However, the new design shows your consumption in the past 24 months instead of the previous 13. They also made it clearer and added some helpful details to help regular people to understand it more easily.

For instance, on the bar graph is a lighter shade of gray, indicating that it’s from the previous year, while the darker shade shows the current year. By simply looking at the columns, anyone can see which is taller, indicating a higher monthly consumption, like in the months of January, February, and April.

But if you don’t believe the visual representation and need more proof, you can look at the numbers below the graph to verify. Similar to the colors of the graph, the darker numbers are from the current year, while the lighter shade is from the previous year.

The new Meralco bill design also shows the average temperature for the month against the same month last year. For instance, if it states 33.5 degrees Celsius (0.7 deg lower than prev) for the month of June 2024, it means that the temperature is compared to June 2023, which is 34.2 degrees Celsius.

The new bill also added a consumption explanation, which is extremely helpful if you’re doubting why your bill is higher today than last month, which is only natural if you’re used to paying a certain amount.

This new design shows your current reading and compares it to the previous billing period (last month), including the difference in your kWh consumption. It also compares it to the same period last year. This is a good way to answer the immediate question of why you are paying higher or lower than the previous or the same period last year.

It even shows your average consumption, your monthly (for the last 12 months) and daily consumption (kWh), as well as the average daily cost for the period. This is a great addition because seeing the pesos sign makes it easier to understand. You can also use these details to know how you can adjust your consumption.

Environmental impact information

The environmental impact section is also a great addition, as it shows how many trees you need to offset your carbon emissions, contributing to climate change.

For example, if your monthly energy consumption is 200 kWh, you need seven trees just to offset your emissions. These numbers may not work for everyone to try to conserve energy, but they will undoubtedly impact those who are conscious about saving the environment.

I remember a friend who was affected by learning how much carbon emissions he’s been contributing decided to install solar panels and cut back on energy consumption.

Meralco Customer Account Number (CAN)

At the bottom of the first page of your Meralco bill are the QR code and bar code containing your Customer Account Number (CAN) for easier payment at any Meralco Business Center or accredited payment partners.

Breakdown of charges

Below the total bill amount is the breakdown of charges for the current billing period. In this part of the bill, Meralco summarizes all the charges you pay (including them). It includes various charges, passed-on system loss, taxes, and other charges.

Meralco created a sample breakdown of its billing statement, presented in a simple pie chart to show where your money goes every time you pay them.

Generation Charge – the largest piece of the pie goes to generation charge that goes to Meralco’s energy suppliers, like Independent Power Producers (IPPs), Wholesale Electricity Spot Market, and other energy producers.
Transmission Charge – your electricity doesn’t travel from the energy sources, which are usually located in outside provinces and remote locations, to the Meralco distribution system. This is paid to the National Grid Corporation of the Philippines (NGCP).
System Loss Charge – yes, you are also paying for the system losses that customers don’t consume.
Distribution Charge (Meralco) – this 17.5% of the bill is the only part of your total payment that directly goes to Meralco, which is still very important. It covers development, construction, operation, maintenance, and transmission from the grid all the way to your house, which you are using right now.
Subsidies (Lifeline and Senior Citizen Discounts) – this discount goes for low-income customers who consume less than 100 kWh per month and senior citizens.
Metering Charge – this goes to the cost of meter reading, including equipment, maintenance, and other related costs.
Supply Charge – this is the cost of rendering service to consumers.

What’s on the back of your Meralco bill?

The back of your Meralco bill also contains helpful details. For instance, you can easily find your last six payments, including the posting date, payment channels, and the amount paid. You will also see any unpaid bills that require immediate attention.

Lastly, you will also find a more detailed view of all the charges you paid. For instance, it shows the following details in percentages of the sample bill:

CHARGES	PERCENTAGE
Generation Charge	49.58%
Transmission Charge	6.90%
System Loss	4.78%
Distribution Charge (Meralco)	24.61%
Subsidies	0.01%
Government Taxes	10.63%
Universal Charge	2.66%
FiT-All (Renewable)	0.83%

These details may vary from month to month, depending on various costs.

What are the factors affecting your electricity bill?

Several factors affect your electricity bill, so make sure to identify possible changes to decrease your next bill.

Efficiency of your Appliances – the more efficient your appliances are, the less energy they require to function, leading to a much lower monthly electric bill. So, as much as possible, use inverter-type appliances, like your refrigerators and aircon.
Duration of Your Appliances Usage – it’s fairly straightforward that the longer you use your appliances, the more it will require energy that contributes to your bill. For instance, if you typically use your AC for 12 hours in the summer, cutting by four hours to 8 hours per day will make a big difference.
High Heat Index – during a high heat index or when the temperature outside is high, some appliances will have to work harder even if you don’t change your usage, particularly your AC and refrigerator. But don’t worry; it’s the other way around during the colder months.
Higher Charges – every month, Meralco releases an advisory announcing the upcoming electricity rates, so consumers won’t be surprised by possible changes. This may mean one of the charges you usually pay for may have increased or decreased in the previous month.

Being a Meralco customer also requires you to learn some of the technicalities that come into the computation of your monthly bill. So, kudos to Meralco for the redesign and making the bill’s details cleaner, easier to read, and more transparent.