CLP Power reduces planned tariff hike to 4.9% in 2012

The company's original proposal in Hong Kong was for a 9.2% increase.

In a release, Secretary for the Environment Edward Yau says the Government will strictly scrutinise electricity fees, saying CLP Power's proposal to further reduce its planned tariff hikes have came in response to appeals from the administration.

CLP announced it has finalised with the Government a revised package for its electricity tariff for 2012, further reducing its planned increase from 7.4% to 4.9%. Its original proposal was 9.2%.

Mr Yau said the Government will strictly conduct gate-keeping measures when scrutinising tariff proposals by Hong Kong's two power companies.

"As we have reported to the Legislative Council and the public, there are two ways to scrutinise the expenditure of the two power companies," Mr Yau said, adding they are examining the companies' annual expenditure, and scrutinising their five-year development plans.

He said the mechanism's transparency has been raised this year and the Government will continue monitoring tariff increases.