Philippines' Meralco cuts capex to half

This is caused by lower power demand due to the pandemic.

Manila Electric Co. (Meralco) is slashing its capital spending budget to $252.23 from the initial $498.85m, according to an announcement. This is due to lower demand this quarter, with the pandemic shutting many businesses.

The Luzon island’s two-month lockdown until mid-May is said to lower power demand in Q2, particularly from commercial establishments.

Peak demand plummeted almost 40% during the lockdown to 4,516MW in March 2020 and further to 4,289MW in April, the company said. Sales volume is also expected to drop 10% YoY.

Read more at Bloomberg. https://www.bloomberg.com/news/articles/2020-04-27/manila-electric-halves-spending-as-lockdown-weakens-power-demand