LEGISLATORS are dissatisfied with a Housing Authority policy which favours Towngas in the supply of domestic fuel to public housing estates.
Members of Legco's Economic Services and Public Utilities Panel said the policy was against the principle of open and fair competition and gave Towngas an unfair edge.
An internal directive adopted by the authority since 1987 says piped liquified petroleum gas (LPG) should only be used if Towngas is unavailable.
At yesterday's meeting, deputy director of the Housing Department Derek Messling said the authority had worked out the directive after taking into account a number of factors.
The difference in cost to the user between Towngas and LPG was marginal, he said, but the use of centrally-piped LPG would require the installation of bulk storage tanks on or near housing estates.
In a densely-populated area like Hongkong, it would be difficult to identify sites for the tanks.
But Ralph Perry, general manager and director of Caltex Oil Hongkong Limited, a major piped LPG supplier, said the policy was discriminatory.
