After all, the PSAs being fixed-rate agreements would still be good for consumers in the long run. But SMC believes that its power subsidiary SMCGP will weather its present challenges as it remains in a stable position to navigate these circumstances. Meralco will also be forced to source up to 1,000 megawatts from the WESM and to enter into higher-priced emergency power supply agreements. And because of this, Meralco said that it would also exhaust all available remedies to prevent the termination of its power supply deals with SMC. Bottom line is, it is the public which eventually will have to contend with higher electricity costs with the termination of SMC’s PSAs.

Source: Philippine Star October 22, 2022 21:04 UTC