The Consumer Council has made its submission to the Government on the future development of Hong Kong electricity market.
In the submission, the Council has put forward the consumer concerns which it has gained from the wealth of experience in serving Hong Kong's consumers.
Such consumer concerns are, first and foremost, about the levels of tariffs they have to pay for a critical necessity for everyday living.
Specifically, they consider electricity tariffs "to be high"; and they attribute the "substantial profits" the power suppliers have enjoyed to their privileged position as the exclusive electricity suppliers.
Consumers are also under the impression that the current tariffs have been set at a high level with the Government's permission.
They expect a "strong commitment" on the part of the Government in protecting their interest, and a "substantial tariff reduction" upon expiry of the current Scheme of Control agreements with the electricity companies.
Another area which consumers have expressed deep concern is over the deterioration of air quality. Thus firm regulatory oversight needs to be exercised by the Government.
Lastly, on a positive note, consumers are generally satisfied with the reliability of supply of the two power companies and expect that to continue.
The Consumer Council has addressed these consumer concerns and sentiments in its submission for the Government's consideration with a number of suggestions in areas that affect basic consumer rights :
- Reliability of service
- Reasonable prices and profits
- Need for an effective regulatory framework
- Calculating a reasonable return
- Encouraging the use of renewable energy
- Proposed interconnection with other suppliers
- Transparency
In the submission, the Council welcomes the Government's "proactive stance" in the review of the electricity sector, and supports its overall stated policy objective to ensure that the public continues to enjoy reliable, safe and efficient energy supplies at "reasonable prices" and that there is "economical supply".