Macao, 20 January 2012

Due to the rising cost of electricity importation, according to the calculation under the concession contract, the Tariff Clause Adjustment (TCA) of the 1st quarter should be 36 cents. However, to alleviate the impact of Macao’s high rate of inflation on people’s livelihoods, particularly the impact of a lifting TCA to the residential and small & medium enterprises customers, with Macao SAR Government support, CEM decided to keep the TCA for Tariff A for the 1st quarter unchanged, i.e. to increase the subsidy of TCA for Tariff A from three cents of previous quarter to four cents this quarter (covering 99% of the customers), reducing the TCA from 36 cents to 32 cents per kWh.

For Tariffs B, C and D, the TCA will be at 36 cents per kWh, an increase of one cent comparing to the previous quarter.