The Manila Electric Company (Meralco) is the largest electric distribution utility in the Philippines. At the end of 2013, it served 5,367,720 customers and covered a footprint of over 9,337 square kilometers, home to approximately 25 percent of the Philippine population. About 50 percent of the country’s GDP and 60 percent of its manufacturing output are generated within the Meralco franchise area, making it a key player in the nation’s economic growth.
A Legacy of Electrification and Economic Growth
Founded in 1903, Meralco was originally established to provide electric light, power, and an electric street railway system to Manila and its suburbs. For over four decades, it operated the city’s first modern mass public transportation system, using electric streetcars that were later supplemented by buses. However, World War II devastated the railway system beyond repair, leading Meralco to shift its full focus to electricity distribution in 1948. The post-war period saw the company play a crucial role in powering the country’s rehabilitation and early industrialization.
In 1961, a bold acquisition by Filipino investors made Meralco the first major American-owned enterprise to be “Filipinized.” Under its new leadership, the company rapidly expanded its electricity generation and distribution infrastructure to meet the growing needs of its franchise area. In 2009, a strategic partnership with the Philippine Long Distance Telephone Company (PLDT) opened new opportunities for innovation, cost reductions, and enhanced services for consumers.
Market Leadership and Financial Performance
By the end of 2013, Meralco had achieved record-breaking financial success, with sales revenue reaching PHP 298.6 billion, equivalent to USD 7.0 billion. Its market capitalization stood at PHP 282.9 billion, or USD 6.4 billion. The company continued to live up to its vision of being the country’s total energy solutions provider of choice, recording all-time best levels in sales, operational efficiency, and financial performance.
Driving Sustainable Development Through CSR
Meralco integrates Corporate Social Responsibility (CSR) as a key enabler of business and societal progress. Through the One Meralco Foundation, established in 2003, the company has implemented thousands of CSR activities, benefiting nearly 50,000 marginalized families. Unlike many corporations that allocate CSR budgets based on profit margins, Meralco prioritizes projects based on their impact, sustainability, and alignment with national development goals. In 2013, the foundation invested PHP 114.8 million in CSR initiatives, ensuring that its efforts contributed to long-term community development.
Community Electrification: Empowering Lives Through Energy
The foundation’s flagship initiative, the Community Electrification Program, ensures safe, reliable, and affordable electricity for underserved communities, including informal settlers, resettlement areas, isolated villages, public schools, rural health centers, and agricultural hubs. In 2013, Meralco energized 3,079 households across 22 communities, many of which belonged to families that could not afford the initial cost of electrification. With access to electricity, entrepreneurial families were able to start small businesses, improving their household income and overall quality of life.
In San Miguel, Bulacan, the Green Earth Heritage Foundation struggled with irrigation for its USDA-certified moringa farm due to its remote location. To support the livelihood of 36 farming families, Meralco installed two solar-powered water pumps, ensuring a sustainable water supply for export-quality crops. The foundation’s commitment to education was also evident in its efforts to energize 60 public schools in remote and island communities over three years. Thousands of students who previously had no access to technology were now able to experience hands-on learning using modern ICT tools, equipping them with skills for the future.
Employee Volunteerism: A Culture of Service
Meralco’s CSR success is deeply rooted in the strong culture of service among its employees, guided by the corporate value of Malasakit, or genuine concern for others. In 2013, 2,724 employees contributed more than 25,000 volunteer hours, assisting 33,396 families through various initiatives. Their dedication was especially evident during disaster response efforts. Following Typhoon Haiyan, employees participated in the “1Day2Give” program, donating a day’s worth of their salary to fund the reconstruction of 18 classrooms in heavily affected areas. A portion of the funds was also used to repair damaged churches. Additionally, four power restoration teams were deployed to the most devastated provinces, helping restore electricity for 25,000 affected families.
Beyond disaster relief, employee volunteers actively participate in environmental and community projects throughout the year. These include repainting classrooms and pedestrian lanes, tree planting, shoreline clean-ups, and various community-building activities. Volunteer initiatives are designed based on employee interests and skills, ensuring meaningful and sustainable engagement. Each year, three corporate-wide Makabayan Days, or Community Action Days, are organized to reinforce the company’s commitment to social responsibility.
Measuring Impact and Ensuring Sustainability
Meralco evaluates its CSR programs by measuring their impact on productivity and quality of life for beneficiaries. These findings are documented in annual reports and supplemented by formal research collaborations with third-party organizations and academic institutions. CSR activities are also integrated into various departments’ traditions and employee engagement strategies, making them an integral part of the company’s overall culture.
Sustainability is anchored in two key pillars. The first is a continued focus on energy-related programs, ensuring that Meralco contributes significantly to improving energy access for marginalized and low-income families. By providing quality, clean, and sustainable energy to community infrastructures, the company amplifies the benefits of electrification, fostering long-term development. The second pillar involves strengthening governance and strategic planning within the foundation. By engaging stakeholders, optimizing resource allocation, and implementing effective communication strategies, Meralco ensures that its CSR initiatives remain impactful, efficient, and results-driven.
By combining infrastructure development with energy education and community engagement, Meralco continues to be a powerful force in transforming lives, fostering economic growth, and driving national progress.
