OREANDA-NEWS. December 19, 2013. CLP Power Hong Kong Limited (CLP Power) welcomed the Executive Council’s approval for its 2014 - 2018 Development Plan.

It also announced that the average Total Tariff increase for 2014 will be 3.9%.

The Development Plan, covering the period from January 2014 to September 2018, projects a capital expenditure of HKD34.1 billion, representing an 18% reduction over the previous Development Plan.

The capital projects under the Development Plan aim to support Hong Kong’s major infrastructure development, newly developed and redevelopment areas and to address the new demand for electricity; maintain CLP’s safe and reliable supply through refurbishment work for existing generation and network facilities; and enhance environmental performance through upgrading the efficiency and emission performance of generation facilities as well as implementing demand side measures.

Under the approved Development Plan, no construction of new generation plant is included in the projection. Of the total spending on capital projects, around one-third is related to electricity generation and two - thirds to the transmission and distribution of electricity to homes and businesses. This approved capital spending, together with operating costs, is expected to increase the Basic Tariff by an average of around 1.8% per annum over the next five years.