Advertisement
Get ready for more shocking power bills in future, Hong Kong residents warned
- With the latest tariff rises, Hong Kong was spared the double-digit increases other major cities have suffered as fuel prices soar
- But as Hong Kong moves to carbon neutral future, residents should expect to pay much more every month, analysts say
Reading Time:4 minutes
Why you can trust SCMP
9
Hong Kong’s two power companies will be under tremendous pressure to raise the price of electricity as the city moves to become carbon neutral by 2050 and residents should brace for double-digit increases in the future, analysts warn.
Advertisement
But the city could create some breathing room when its own offshore liquefied natural gas terminal is completed next year, which will give the companies the option of casting a wider net for sources rather than relying solely on mainland China, one expert said on Wednesday.
CLP Power and HK Electric surprised some industry observers on Tuesday when they revealed electricity bills would go up by a maximum of 7 per cent from January 1.
Higher coal and gas prices around the world have pushed up power prices in many countries, with environment minister Wong Kam-sing noting some major cities have seen increases approaching 20 per cent.
Advertisement
Hong Kong residents and businesses were spared such pain, at least for now, by the decision of the two power firms to dip heavily into their reserves to keep their increases to 5.8 per cent for CLP Power customers and 7 per cent for users of HK Electric.
Advertisement