Financial Times FT.com

HK terminal on hold after deal with Beijing

By Robin Kwong in Hong Kong

Published: August 29 2008 03:00 | Last updated: August 29 2008 03:00

The Hong Kong government yesterday backed away from approving a controversial natural gas terminal in an ecologically sensitive area, in what was seen as its first serious attempt to tackle air pollution in the territory in recent years.

China Light and Power, Hong Kong's biggest energy company, has long argued that it needed to build an HK$8bn ($1bn) liquid natural gas receiving terminal to ensure a stable future gas supply for the territory.

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