100 Years with MERALCO / Colonial

Colonial Outpost

Manila in 1903 was a city of about 220,000 inhabitants. Over a settlement of Tagalog clans at the mouth of the Pasig River, Spanish colonists had built Fort Santiago, and eventually a walled city, or Intramuros which became the administrative center.

But most of the inhabitants and their commerce were located outside the walls and north across the Pasig in an area about three to four times the size of Intramuros, in the suburban towns of Binondo, San Nicolas, Tondo, Sta. Cruz, Quiapo and San Miguel.

Compania de los Tranvias de Filipinas

Vehicular transportation in Manila then was provided by horse-drawn carriages - the quilez or calesa, the carromata, the caruaje - and the horse-drawn street railway of the Compania de los Tranvias de Filipinas.

Towards the end of the 1890s, however, the system had deteriorated badly due to uncertainty caused by the Philippine revolution and American conquest.

And by 1902, only about ten horsecars were in actual service each day.

La Electricista

In 1903, about 3,000 electric light customers and the city government with its streetlights were served by an electric company called La Electricista organized in 1892.

La Electricista had built a central power plant on Calle San Sebastian (now R. Hidalgo). On January 17, 1895, its streetlights were turned on for the first time.

Birth of Meralco in 1903

In 1901, the United States formally established civilian government in Manila, clothing the Second Philippine Commission with legislative powers to organize the new government.

Composed of five Americans and eventually three Filipinos, the Commission passed on October 20, 1902 Act No. 484 which formally called for franchise bids to operate an electric street railway and to furnish electric current for light, heat and power in the city and suburbs.

On March 5, 1903, the bids were opened and it turned out that the only bid submitted was that of Detroit entrepreneur Charles M. Swift.

On March 24, 1903, the Municipal Board passed Ordinance No. 44, granting to Swift what became the original basic franchise of Meralco.

On March 14, 1903, Swift incorporated in the State of New Jersey a company which was soon named Manila Electric Railroad and Light Company. "Meralco" was the acronym formed by the first letters of the corporate name.

Getting Started, 1903-1905

After winning the bid, Swift commissioned J.G. White for construction and engineering services. In September 1903, actual construction began on the track and overhead system in Manila.

Swift was also able to purchase both the Tranvia company and La Electricista sometime in 1904. Thus, Meralco started its electric service to Manila by taking over operation of La Electricista's system.

However, Meralco built its own steam generating plant on Isla Provisora near the Ayala Bridge which powered the streetcar system and eventually also the electric service.