Stop Runaway Electricity Prices
兩電錯估燃料費多收電費 官員把關無能

【明報專訊】THE TWO ELECTRICITY COMPANIES have always gained the upper hand in their interaction with the government. The government appeared much pleased with itself and believed it had brought the two electricity giants to heel when, in its negotiations with them over a new Scheme of Control Agreements in 2008, it managed to have their permitted rate of return on net fixed assets in use reduced from 13.5 and 15 percent to 9.99 percent. With their permitted rate of return reduced from double digits to a single digit, the two companies' performances might be expected to suffer. However, to many people's astonishment, after the announcement of the new Scheme of Control Agreements, the two companies' stock prices rose instead of going down.