A territory-wide $1.20 per cubic metre rate covers most domestic and industrial discharge, but restaurants must pay an extra surcharge of up to $9.12 per cubic metre.

But industry spokesman Tommy Cheung Yat-yan said the frustrated owners believe the charges are unfair.

Industry representatives met the Government yesterday to hammer out a compromise, but walked away frustrated.

'The charges are fair and they are based on accurate information,' a government spokesman said. 'The Government is willing to talk, but the charges must be paid when the bills are presented.' Restaurateurs want a new pollution survey to find a solution to the trade effluent surcharge. They claim the charge on restaurant sewage is too high and based on inaccurate data.

'There are more than 8,000 restaurants in the territory and the Government told us they calculated the sewage surcharge on [effluent] samples taken from only 26 restaurants,' Mr Cheung said.

'The Government told us they will receive, each year, $328 million from the surcharge, which applies to 13,000 industries. But there are so many restaurants in the territory, so we are carrying the largest burden.' Idustries can cut or eliminate the surcharge by complying with the stringent pollution control regulations designed to improve water quality.

'It will cost nearly $15,000 to $45,000 per restaurant to have the tests done on the discharge,' Mr Cheung said. 'We would like the Government re-test to determine if the original figures are correct.'