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Competition in Hong Kong's Gas Industry

Competition in Hong Kong's Gas Industry

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Over the past decade, the gas industries of many countries have undergone substantial change. Gas utilities have been corporatized or privatized, and competition has replaced monopoly. Despite this current of liberalization, Hong Kong's gas industry is still dominated by one company with limited competition from other fuel suppliers.

This study reviews the liberalization of the gas industries in the United States, United Kingdom, Australia, New Zealand, Japan, South Korea and Taiwan. Although the industry, ownership, and regulatory structure in Hong Kong may not be the same as in those countries and areas, the authors believe lessons can be learned from their experiences.

It is found that the conditions of the gas industries in Hong Kong and Japan are similar in many ways. Based on the Japanese experience, a smooth transition to a natural-gas system for Hong Kong will be possible with government support and with co-operation among private companies.

This monograph is a useful reference for government officials, policy makers and people involved in the development of fuel supplies in Hong Kong.