via Alanna Miles (RESET HK)
Angela Tam is right; there is a price to climate change. No matter which way you look at it, there’s a price for taking action, but most likely an even greater price for not.
Hong Kong is not immune to the challenges brought about by climate change, and like all other economies, must begin the transition to a low carbon economy. Now.
Globally, the focal point for this transition has been on the electricity generation sector. Accounting for ~35% of global greenhouse gas emissions and 64% of Hong Kong’s emissions, the electricity generation is no doubt an appropriate starting point. Fortunately, the industry also provides an enormous amount of greenhouse gas abatement potential.
Hong Kong’s own CLP is setting an example of what business is prepared to do to meet the challenge and has committed to de-carbonising its electricity generation portfolio by setting ambitious short, medium and long term carbon emissions intensity targets out to 2050. The use of low carbon natural gas and renewable fuels, such as wind, hydro and solar, will both play an important role in meeting its target. CLP acknowledges that the contribution of renewable generation in its portfolio to date is only due to “favourable government policies in Australia, India and China”, where a sizeable portion of its electricity generation portfolio is located.
In 2005, the Hong Kong Government declared that 1-2% of the territory’s energy demand would be met by renewable energy by 2012. Indeed, this amount is tiny compared to the commitments being pledged by China at 15% by 2020. Arguably, the potential for large scale renewable energy in Hong Kong is limited due its size and renewable resource constraints. In any case, renewables are intermittent, more costly than other low carbon alternatives and not a silver bullet; they must be considered as part of a low carbon portfolio approach.
So what does that mean for electricity generation in Hong Kong? Given we must transition to a low carbon economy now and at a cost that is manageable for society, a complete switch from coal to gas-fired generation must be a part of the near term solution. True, gas generation isn’t 100% squeaky clean, but compared to existing coal-fired generation it is more efficient, emits 60% less greenhouse gas emissions per unit of electricity than coal, and is less hazardous on local air quality.
More importantly for Hong Kong, we must push our focus toward the demand side. Around 89% of Hong Kong’s electricity is used in buildings. By being more energy efficient in the way we consume energy and designing our buildings in a way that uses energy more efficiently from the outset, we can reduce the amount of coal-fired electricity that is currently being generated to fuel our energy intensive life-styles and save millions of dollars in the process. Fortunately, the technology and know-how is available to realise savings immediately.
So why aren’t we moving? Some would argue that we are, but not fast enough or in a manner that supports the deep cuts in greenhouse gas emissions that need to be made. Many claim they don’t have the information needed to make the necessary changes. Those who do have the know-how need support from government in the shape of policies, regulations and incentives to move to the next level.
One or two sectors can’t carry the load all by themselves. We all share a responsibility in moving Hong Kong forward on this issue. The time for in-action and blame has passed. It is in the interest of business and citizens of Hong Kong to work with the Government to cut through red-tape and other barriers and develop policies and regulation that support a smooth and less costly transition to a low carbon economy.
