Hong Kong electricity prices to soar by up to 7%

Hongkongers will fork out an extra HK$20 to HK24 for their monthly power bills next year, the city’s two electricity providers announced on Tuesday.

HK Electric, which supplies power to the Hong Kong and Lamma islands, will raise rates by 7 per cent to HK$135.3 cents per unit of electricity, while CLP Power, which services Kowloon and the New Territories, will raise rates by 5.8 per cent to HK$128.9 cents per unit.

power station castle peak electricity — Photo: Wikicommons.

The new rates take effect on January 1.

The companies cited a worldwide upsurge due to a supply shortage for the increase. “International fuel prices have been surging for more than a year, and have had a profound effect on the power supply industry and tariffs around the world. Hong Kong is not immune to this,” CLP Managing Director Chiang Tung-keung said.

“The upsurge in global fuel prices is beyond the control of HK Electric,” Managing Director Wan Chi-tin said in a statement.

Community programmes

Both companies pledged extra subsidies and rebate programmes to help Hongkongers through the price hike.

HK Electric said it has set aside HK$63 million for relief measures, while CLP has committed HK$2.5 billion for subsidy programmes to “ease the burden on customers.”

Housing land supply — Housing in Hong Kong. Photo: GovHK.

“We understand that many people and businesses, including disadvantaged groups and small and medium-sized enterprises, are still struggling financially. That is why we are supporting Hong Kong people through these challenging times by freezing our Average Basic Tariff, offering two special rebates, and drawing on the CLP Community Energy Saving Fund,” CLP’s Chiang said.

Local NGO Society for Community Organisation told RTHK the price hikes were nonetheless likely to disproportionately affect the city’s most vulnerable living in sub-divided flats.

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