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OPERATION REVIEW
We continued to provide free energy audit services to
non-residential customers to help them identify
energy-saving opportunities at their business premises.
Over 50 audits were carried out in 2016, identifying
opportunities to reduce energy consumption and cut costs.
The Smart Power Fund was launched in 2014 to encourage
and help improve the energy efficiency of Hong Kong’s
older buildings by offering subsidies to help implement
energy efficiency projects. In 2016, eight applications for
energy efficiency improvement were approved, including
replacements of lift driving systems, public lightings and
air-conditioners with more efficient types. This brings the
Our top priorities in the immediate term are to engage with
the Government to bring the Scheme of Control review to
a successful conclusion, the smooth completion of our two
major infrastructural projects, L10 and L11, and to secure
an affordable alternative supply of natural gas. Over the
longer term we will press ahead with a phased programme
of replacement of ageing equipment at LPS.
Our strong financial footing, expertise, customer
relationships and focus on delivering value, position us well
for success in the coming years.
Improving old residential buildings’ energy efficiency with the
support of the Smart Power Fund.
Construction in full swing for the new L10 gas-fired
generating unit.
total number of approved applications to 29 since fund
inception. We have doubled the upper limit of the subsidy
to HK$400,000 from 1 January 2017, in order to help more
eligible premises implement energy efficiency initiatives.
As a result of a reduction in the fuel clause charge following
lower than expected fuel costs as well as Government
refunds on rents and rates, we are pleased to be in a position
for the second year to reduce tariffs for all our 575,000
customers. With effect from 1 January 2017, net tariff has
been reduced by 17.2% to reach 110.4 cents per unit of
electricity. We have been steadily making electricity even
more affordable for our customers over the past few years:
tariffs were frozen for two years in 2014 and 2015, and
successive reductions implemented in 2016 and 2017.
Net tariffs 2013-2017
160
140
120
100
80
60
40
20
0
HK cents
134.9 134.9 134.9 133.4
110.4
2013 2014 2015 2016 2017
2016 ANNUAL REPORT
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