HK Electric to cut fuel charge for first time in 4 months as CLP raises rate
HK Electric customers are set to pay less for electricity in October after the Hong Kong supplier cut its fuel charge for the first time in four months, but it warned that international energy prices remained volatile. CLP Power, the city’s other electricity supplier, will raise its energy prices next month. HK Electric, which mainly supplies Hong Kong Island and Lamma Island, said on Friday that…
Electricity customers in Hong Kong will see a decrease in their monthly bills in October, as HK Electric, the city's main supplier, reduced its fuel charge for the first time in four months. However, the company cautioned that international energy prices remain unpredictable. Meanwhile, CLP Power, the other major provider, plans to raise its energy prices next month. HK Electric serves Hong Kong Island and Lamma Island, while CLP covers Kowloon and the New Territories.
The fuel clause charge, which accounts for the cost of fuel used in power generation, will decrease by 1.4 HK cents to 59.3 cents per kilowatt hour (kWh) in October. This adjustment follows a series of increases since May, driven by the war between the United States and Iran in February. The fuel charge dropped from January to May due to a "deterred effect," but has since surged from 26 cents in May to 60.7 cents in September. HK Electric explained that the October charge mainly reflects fuel costs from June to August.
Despite the reduction, the company emphasized that international energy prices remain volatile, and future fuel charges will depend on global fuel price trends. HK Electric pledged to closely monitor global energy markets and minimize the impact of fuel price volatility on customers while maintaining a stable supply and adhering to emission caps. To help offset the higher electricity costs, HK Electric offered an 8 cents per unit subsidy to eligible residential customers from August to October.
On the other hand, CLP Power, which serves Kowloon and the New Territories, will raise its fuel adjustment charge to 46.2 cents per kWh in October, an increase of 1.1 cents from September. The changes are primarily due to actual fuel price fluctuations over the past three months. Including the basic electricity charge, the average net electricity charge for CLP customers will rise to 147.4 cents per kWh, a 0.75% increase from September and around a 4.8% rise compared to January.
CLP is offering a special fuel rebate to help alleviate the financial burden on households, expected to benefit about 50% of residential customers.
Written by urgent.news from South China Morning Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
