Market Intelligence
Environmental Technology Hong Kong China Environmental Management Climate

Hong Kong Decarbonization

The Hong Kong government is determined to combat climate change and it is striving to reach carbon neutrality by 2050, a goal called the “world’s most urgent mission” by the United Nations.  In the recent Policy Address, the Hong Kong government has announced to allocate about US$30 billion in the next 15 to 20 years to implement measures on net-zero electricity generation, green transport and waste reduction.  These include developing distributed renewable energy, enhancing energy efficiency and conservation in buildings, decarbonizing the vehicle fleet to reach zero vehicular emissions, and transforming our waste management system to cease landfilling of municipal wastes. 

Currently, electricity generation accounts for about 66% of carbon emissions, followed by transport at 18% and waste at 7%.   Over the past decade, the two power companies have allocated US$5 billion to decarbonization projects.  They are reducing the use of coal and increasing the share of natural gas and renewable energy in the fuel mix.  As Hong Kong will stop using coal for daily electricity generation by 2035, the power companies are actively exploring the development of new energy such as wind and hydrogen.  The CLP Group, one of the two power companies, signed an agreement in September 2021 with General Electric to develop plans for converting gas generators to using hydrogen.  Moreover, reducing energy consumption in buildings is critical in Hong Kong as buildings account for 90% of the city’s electricity usage.  The government will utilize smart technology such as replacing all electricity meters with smart meters in both residential and commercial buildings to monitor and manage electricity consumption.  As of now, 40% of meters have been upgraded to smart.  

Commercial vehicles, including goods vehicles, buses, light buses and taxis, are key emission sources of street level pollution.  The government has adopted a series of vehicle emission control measures including the replacement of catalytic converters and oxygen sensors of LPG taxis and light buses, retrofitting diesel franchised buses and implementing tighter vehicle emission standards, and to promote electric transport.  In addition, Hong Kong will stop new registration of fuel-propelled private cars including hybrid vehicles in 2035.  

Over 90% of waste emissions came from its decomposition in landfills. According to the Environmental Protection Department, 11,057 tons of municipal solid waste (MSW) were disposed of at landfills each day in 2019. Of these, about 3,353 tons (30%) were food waste.  Alarmingly, Hong Kong has already filled up and closed down 13 landfills, and its remaining three landfills are overflowing.  Hence, the government is pressing ahead to promote waste reduction and recycling, and the development of waste-to-energy facilities, including the infrastructure for recycling of food waste, to move away from the reliance on landfills.  

For more information on the government’s strategies, targets and measures to reduce carbon emissions, please review the Clean Air Plan for Hong Kong 2035, the Hong Kong Roadmap on Popularisation of Electric Vehicles and the Waste Blueprint for Hong Kong 2035 

Opportunities for U.S. exporters: 

Energy-saving technologies, systems & equipment, such as district cooling systems, energy audit systems, smart meters, distributed energy storage system 

  • Solar energy generation systems  

  • Offshore wind farms technology and equipment 

  • Battery-powered energy storage systems  

  • Green and smart transport technologies  

  • EV charging systems  

  • EV battery recycling technologies  

  • Food waste recycling technologies and systems 

  • Waste-to-energy power systems  

  • Sewage treatment technologies and equipment 

For more information or assistance, email us at Office.Hongkong@trade.gov

.