The Manila Electric Company (Meralco) grew its core net income by 11 percent to PHP18.5 billion in the first nine months of the year, as benign inflation and favorable interest rate environment boosted growth in sales volume.

Consolidated electricity sales volume grew to 35,005 gigawatt hours (GWh) at end-September, up 6.3 percent from the same period last year.

“Growth was driven by residential (energy sales volume) which grew at 8 percent, followed by commercial at 6 percent and growth by industrial at 5.1 percent,” Meralco President and Chief Executive Officer Ray Espinosa said in a press briefing Monday.

Meralco reported its electricity revenues rose by 6 percent to PHP235.4 billion due mainly to higher generation charges from the combined effects of higher prices in the Wholesale Electricity Spot Market (WESM) and increased consumption across all customer sectors as inflation tapered in September.

Its consolidated distribution revenues also grew by 7 percent to PHP49.2 billion in the first nine months, while non-electricity revenues declined by 6 percent to PHP5.8 billion.

Meralco Chairman Manuel Pangilinan said, “we anticipate sustained growth for Meralco resulting from the country’s continued overall economic expansion as well as growth that will follow the government’s ongoing infrastructure development programs.”

Pangilinan said they expect to end 2019 with consolidated core net income of over PHP23 billion. (PNA)