CLP to raise fuel cost adjustment next month, first increase in more than a year

Hongkongers could pay heftier electricity bills in the near future, a utility firm has warned, saying an increase in its surcharge will be “unavoidable” if conflict in the Middle East continues to impact fuel prices.HK Electric said on Thursday that it would initially decrease its fuel charge cost (FCC) in April, but would raise it mid-year if fuel prices remained high or further increased.A day earlier, fellow utility firm CLP Power increased its fuel cost adjustment (FCA) charge due to a discrepancy between actual fuel prices and forecasts amid the United States-Israel war against Iran, which has driven up wholesale gas and power prices.CLP’s move marks the first upwards revision since January last year.HK Electric provides energy for Hong Kong Island and Lamma Island, while CLP Power serves Kowloon, the New Territories and Lantau Island.The FCC or FCA, together with the basic tariff, make up the net tariff, which refers to the total price paid by consumers.