CITIC Pacific will expand its energy projects in China in spite of the mainland's plans to cap investment returns on power plants.
Chairman Larry Yung Chi-kin said after an extraordinary general meeting yesterday that electricity generation was desperately needed in China.
He said the proposed cap of 15 per cent on investment returns for power plant projects would be too low.
Investment returns secured by CITIC Pacific for its power plant projects in China were more than 15 per cent, he said.
He said the group would proceed with plans to expand its investments in power plants on a step-by-step basis.
Expansion plans for the group's power stations in Ligang, Jiangsu province, and Xinli, Henan province, are under way.
CITIC Pacific also has a 25 per cent stake in a power station in Pudong which is a joint venture with two entities in Shanghai and China National Energy Co.
