Hong Kong’s CLP Power will raise the electricity fuel surcharge for the second consecutive month between increase in oil pricesbringing the total electricity rate to 141.6 cents per kilowatt hour (kWh).
CLP Power, one of the city’s two electricity companies, DESIGNATED on Wednesday that it would increase the fuel cost adjustment starting May 1 to 40.4 cents per kWh, an increase of 0.6 cents from April.
According to the utility, the fuel cost adjustment is based on the difference between forecast and actual fuel prices, including oil, gas and coal prices.
CLP Power increased the fuel surcharge to 39.8 cents per kWh on April 1 – an increase of 0.6 cents.
Another electric company, HK Electric, said on Friday that it would cut the fuel surcharge in May to 26 cents per kWh, a drop of 4.4 cents from April.
It was the second month in a row that HK Electric reduced the surcharge.
The reduction in the fuel surcharge is “mainly attributable to the ‘push-through effect’ inherent under the monthly adjustment mechanism,” the company said.
However, the surcharge is expected to increase significantly starting from the middle of the year, according to HK Electric, which supplies electricity to Hong Kong Island and Lamma Island.
CLP Power serves the rest of the city.
The Middle East war, which broke out in late February, has had a major impact on utility prices.
In November last year, the two energy companies announced tariff reductions of about 2 percent.
