Department of Social Welfare and Development (DSWD) Secretary Rex Gatchalian has fired back at claims blaming Pantawid Pamilyang Pilipino Program (4Ps) beneficiaries for the recent surge in electricity costs, calling the narrative “fake news.”
As consumers reel from the “bill shock” experienced this April, Gatchalian clarified that the burden of high electricity rates lies with the utility giant’s own expenses, not the subsidies provided to the nation’s poorest.
The Generation Charge Culprit
In a recent interview, Gatchalian debunked the idea that 4Ps subsidies are driving up residential rates. He pointed directly to Meralco’s generation costs as the primary driver of the price hike.
“The 4Ps program is not the reason why billing increased this April. That bill shock came from their own generation. Their generation expenses went up,” Gatchalian stated during a guesting on Unang Hirit.
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By the Numbers: Why the Math Doesn’t Add Up
Gatchalian emphasized that the consumption footprint of a typical 4Ps household is negligible compared to commercial and high-end residential users.
- P0.40 Centavos: The total impact of the lifeline rate subsidy on a consumer’s bill is less than half a centavo ($P0.0040$).
- Minimal Usage: Most 4Ps households only use basic necessities—typically a single electric fan and a few light bulbs.
- Small Target Group: Out of Meralco’s 8.11 million customers, only 135,411 are 4Ps households enrolled in the Lifeline Rate Subsidy Program.
A Call for Corporate Responsibility
With the Senate poised to revisit the Expanded Lifeline Rate Law, Gatchalian is advocating for a shift in who bears the cost. He suggests that Meralco, given its significant profit margins, should absorb the subsidy costs as part of its Corporate Social Responsibility (CSR) instead of passing the bill to other consumers.
“Given the scale of what they charge, they should be the ones absorbing this. It should be their CSR,” the Secretary added.
