XN000022-1989-05-31 — Page 22

WEDNESDAY, MAY 31, 1989

20

APPROVAL FOR INCREASE IN TELEPHONE CHARGES

* * * * *

THE

LEGISLATIVE

COUNCIL

WILL ALLOW THE

TODAY HONG

KONG

(WEDNESDAY | APPROVED

TELEPHONE

COMPANY

ΤΟ

RESOLUTION WHICH INCREASE TARIFF CHARGES FROM TOMORROW (THURSDAY).

REN'TAL

RESIDENTIAL THE HON

THE MAJOR ITEMS INVOLVED ARE INCREASES IN EXCHANGE LINE

AND BUSINESS ORDINARY CHARGES. AND THE EFFECT ON SUBSCRIBERS WOULD BE MODEST. THE ACTING FINANCIAL SECRETARY, DAVID NENDICK, TOLD THE COUNCIL.

USE THE MONTHLY COST OF AN ORDINARY EXCHANGE LINE FOR BUSINESS

AND FOR A RESIDENTIAL EXCHANGE WILL BE INCREASED FROM $66 TO $70, LINE FROM $43 TO $48.

MR

TELEPHONE WILL RISE THE MONTHLY RENTAL CHARGE FOR A STANDARD BY $1, FROM $5 TO $6, TO COVER THE COST OF AN UPGRADING PROGRAMME. NENDICK SAID THAT IN MONETARY TERMS THIS WAS A MODEST INCREASE.

THE PRESENT CHARGES OF $72 PER INTERNAL EXTENSION, AND OF $100 STARLINE FEATURES WILL BE ABOLISHED.

ANNUM FOR THE RENTAL OF FOR THE CONNECTION AND

AN

CHANGE

OF

SCHEDULE TO THE TELEPHONE LEVIED BY THE TELEPHONE RENTALS AND INSTALLATION,

IN MOVING THE MOTION TO AMEND THE

MAY BE ORDINANCE OF MAXIMUM CHARGES THAT COMPANY, MR NENDICK SAID CHARGES FOR LINE AND OTHER MISCELLANCOUS CHARGES WERE LAST INCREASED IN OCTOBER 1985.

TIME. IT HE NOTED THAT BASED ON PROJECTIONS AVAILABLE AT THE

NOT BE REQUIRED WAS CONSIDERED A FURTHER ROUND OF INCREASES WOULD UNTIL EARLY 1988.

YEAR

"IT HAS BEEN POSSIBLE TO DELAY THESE INCREASES BY OVER A

PRODUCTIVITY AS A RESULT OF HIGHER THAN EXPECTED SALES, AND IMPROVED AND OPERATING EFFICIENCY ON THE PART OF THE COMPANY,

70

HE SAID.

YEARS, TELEPHONE

"

RATE OF INFLATION, MR

"IT 15 WORTH NOTING THAT OVER THE PAST TEN TARIFFS HAVE RISEN BY LESS THAN HALF THE NENDICK POINTED OUT.

HE SAID THE COMPANY APPLIED TO INCREASE ITS TARIFFS IN FEBRUARY ORDER то MEET INCREASED BY AN OVERALL AVERAGE OF SEVEN PER CENT IN

AND TO SERVICE HIGH STANDARD OF OPERATING COSTS, TO

MAINTAIN

KEEP PACE WITH GROWING DEMAND.

IT'S

"THE APPLICATION HAS BEEN THOROUGHLY EXAMINED AND THE ITEMS RESOLUTION NOW BEFORE THIS COUNCIL ARE CONSIDERED JUSTIFIED.

IN

HE

THE

ADDED.

"BASED ON CURRENT PROJECTIONS, THERE IS UNLIKELY REQUIREMENT FOR FURTHER INCREASES UNTIL 1991.

TO

BE

ANY

"

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