On Monday the Advisory Council on the Environment (ACE) will discuss the need for a new power station in Hong Kong.
Friends of the Earth strongly urges the Government to withhold its approval for a variety of reasons.
Firstly, it would be illogical for the Government to give approval to the Hongkong Electric Company to build another superfluous power station when there is already excessive capacity. China Light and Power has the world's largest power plant at Black Point with two gas turbines in a dormant state.
The combined installed facilities of the two utilities companies, Hongkong Electric and China Light and Power, could presently supply Hong Kong's peak demand with a more than 62 per cent reserve margin.
Secondly, the half-year independent consultant study to review the existing Scheme of Control (SoC) on these two companies will be completed in six months. The report will reveal the possibility of combining the companies' transmission gridlines and the de-regulation of the energy market.
Thirdly, we need to know the latest peak demand of Hong Kong Island. It is likely to be lower than the original projection due to regional economic stagnation. Times are changing, as the Government is currently revoking monopolies in the public transport and telecommunications sectors. Isn't it time to demand a more transparent and accountable SoC with regard to these electric utility firms? The present SoC looks after the shareholders of these two companies and neglects consumers' interests. We find it frustrating that China Light and Power is allowed to generate electricity for the mainland and, at the same time, buy 70 per cent of Daya Bay's nuclear energy.
