The Manila Electric Company (), also known as Meralco (, , stylized in uppercase), is an electric power distribution company in the Philippines. It is Metro Manila's only electric power distributor and holds the power distribution franchise for 22 cities and 89 municipalities, including the whole of the National Capital Region and the exurbs that form Mega Manila.
The name "Meralco" is an acronym for Manila Electric Railroad and Light Company, which was the company's official name until 1919.
History
La Electricista
Organized in 1891 and beginning operations in late 1900, La Electricista was the first electric company to provide electricity to Manila towards the close of the Spanish era. La Electricista had built a central power plant on Calle San Sebastian (now Hidalgo Street) in Quiapo, Manila. On January 17, 1895, its streetlights were turned on for the first time and by 1903, it had about 3,000 electric light customers.
Founding of the Manila "Electricity", "Railroad" and "Lighting" Company
On October 20, 1902, during the American Colonial Period, the Second Philippine Commission began accepting bids to operate Manila's electric company, and by extension, providing public lighting to the city and its suburbs. Detroit entrepreneur Charles M. Swift was the sole bidder and on March 24, 1903, was granted the original basic franchise of the Manila Electric Company. March 24 thus is marked annually as the company's anniversary.
The Manila Electric Company acquired both La Electricista and the Compañía de los Tranvías de Filipinas, a firm that ran Manila's horse-drawn tramways which was founded in 1882. Construction on the railed tramway began that same year. In addition to acquiring La Electricista's Calle San Sebastian power plant, the company built its own steam generating plant on Isla Provisora (later becoming the Manila Thermal Power Plant), which lighted the railed tram system and eventually also provided the electric service. By 1906, the Manila Suburb Railway were founded and later merged with the Manila Electric Company. Forming the Manila Electric, Railway and Lighting Company. The name Manila Electricity, Lighting and Railroad Company (MELARCo) was also considered.
Manila Suburban Railways Company
Swift was awarded another franchise in 1906 to operate a extension line from Paco to Fort McKinley and Pasig and founded the Manila Suburban Railway to operate this franchise. In 1919 this company merged with the Manila Electric Company. This extension was one of the most profitable of MERALCO's lines.
By the 1920, MERALCO invested on transportation and owned a 170-strong fleet of streetcars, before switching over to buses later in that decade.
The company operated 52-miles of trams until World War II. The equipment and tracks of the system was severely damaged during the war and had to be removed.
Power generation and distribution
By 1915, electricity generation and distribution became the main MERALCO's main income generator, overtaking its public transportation operations in terms of revenue. In 1919, it changed its official name to Manila Electric Company. By 1920, the company's power capacity had grown to 45 million kWh.
In 1925, MERALCO was acquired by the utility holding company Associated Gas and Electric, which had begun a massive expansion throughout the United States and Canada. With AGECO's financial backing, MERALCO began acquiring a number of existing utility companies in the Philippines, enabling the company to expand beyond Manila.
By 1930, MERALCO had completed construction of the Philippine's first hydroelectric power plant, the 23MW Botocan Hydro Station. At the time, this plant was one of the largest engineering projects in Asia and constituted the largest single private capital investment in the Philippines. The additional capacity allowed the company to begin hooking up customers throughout the metropolitan area.
To drive demand for more power, MERALCO also opened a retail store in order to sell electric home appliances.
World War II
During the Second World War, the Japanese occupying forces forcibly transferred all of MERALCO's assets and holdings to the Japanese-controlled Taiwan Power Company.
Postwar
By war's end, most of the former Meralco facilities had been destroyed. AGECO was reorganized as General Public Utilities Corporation or GPU in 1946. MERALCO's autobus franchise was sold to Halili Transport.