Macau, 14 April 2015

The continued fall in international oil prices resulted in the decrease in CEM’s local generation cost, thus this quarter’s Tariff Clause Adjustment (TCA) dropped slightly. According to the calculation under the concession contract, the 2nd quarter of TCA will be 42 cents per kWh, 3 cents lower than the previous quarter.

To fulfill its corporate social responsibility, CEM announced that it will continue to offer TCA subsidy for Tariff Group A customers (mainly residential customers and small and medium enterprises supplied with low voltage, covering more than 99% of the total number of customers), from 42 cents, the contractual calculated value, reduced to 35 cents with a 7-cent per kWh reduction. On the other hand, TCA for Tariff Group B, C and D will be decreased to 42 cents per kWh in accordance with the contractual calculated value, down 3 cents per kWh comparing with the previous quarter. Benefited from the continued fall of oil price, local generation in previous quarter was increased, accounted for 19.3% of the total generation, while purchase from Macau Refuse Incineration Plant and importation from Mainland made up 4.4% and 76.3% respectively.

With the support of Macau SAR Government, CEM has been offering TCA subsidy to customers in a bid to provide stable electricity tariff to local citizens. In 2014 the total subsidy amount reached MOP142 million. This genuinely proves CEM’s efforts to provide excellent power services for Macau citizens and its commitment to support Macau’s economic development.