Meralco is the Philippines’ largest private sector electricity distributor. Tasked with providing affordable, reliable and sustainable power to 39 cities and 72 municipalities, the company is rising to the challenge through investment, innovation and digitalisation.
The Philippines’ largest electricity distributor is preparing for an energy future that is smarter, cleaner and more resilient. For Meralco – the 122-year-old utility that powers over 30 million lives daily – this transformation involves a coordinated strategy of grid modernisation, clean energy investment and digital expansion. Its commitment to an AI-enabled future comes with a promise to maintain stability and affordability in the region’s energy markets.
At the core of this strategy is a five-year, $3.7 billion capital expenditure programme, which supports the upgrade of Meralco’s distribution network to accommodate technologies such as rooftop solar, battery storage and electric vehicles, and provides the infrastructure to host tier three hyperscale data centres, which represent the future business engine of the Philippines. The centrepiece is a $630 million rollout of advanced metering infrastructure, which will see over 11 million smart meters deployed by 2030, enabling real-time energy tracking, dynamic pricing and more efficient grid operation. “More than just wires and poles, we’re talking about long-term energy independence and a future where our systems are smarter, more efficient, and more responsive to the people we serve,” says Meralco Chairman and CEO Manuel V. Pangilinan.
Clean energy is an equally strong pillar of Meralco’s investment agenda. Through subsidiaries MSpectrum and MGREEN (MGEN Renewable Energy Inc.) – the renewable energy arm of the company – Meralco is growing its green energy capacity. By 2030, the goal is to deliver 3,379 MW from solar and storage projects, enough to power 12 million Filipino homes.
While renewables are ramping up, Meralco remains grounded in operational reality. Natural gas and high-efficiency coal remain part of the generation mix to ensure uninterrupted power during demand spikes or severe weather. This strategy is designed to maintain a reliable flow of energy to hospitals, schools, homes and industries while the transition to renewables accelerates.
The company’s forward-looking approach also extends to next-generation technologies. Meralco is evaluating the potential of nuclear power through its Nuclear Energy Strategic Transition programme, exploring greenfield conventional plants, rehabilitating legacy infrastructure such as the Bataan Nuclear Power Plant and small modular reactors. These efforts are in collaboration with global firms including Electricité de France, Korea Hydro & Nuclear Power Co. and institutions across Canada, China, South Korea, France, Japan and the United States.
Meralco’s ecosystem extends beyond the grid. Subsidiaries such as MIESCOR, focusing on EPC services, MSERV, an energy efficiency solutions company, and Radius, a premium fibre provider for SMEs, are driving energy infrastructure development, distributed energy solutions, and enterprise-grade fibre connectivity. Bayad, pioneering outsourced payment collection services, processes millions of transactions monthly across over 650 centres and through partnerships with major e-wallets. Meanwhile, Meralco’s green mobility arm, Movem, is expanding its EV charging network in support of the national goal of 7,000 chargers by 2028.
For investors, Meralco’s renewed 25-year franchise offers long-term visibility and stability. Core net income rose 11% in the first quarter of 2025, driven by rising energy demand and increased operational efficiency. With investment-grade ratings from Fitch, Moody’s and S&P, a robust regulatory record and a strong governance structure, the company is well positioned to lead the industry through a transformative period. Meralco today stands as a strategic growth platform – meeting growing demand while powering the clean energy transition in the Philippines.
