You are currently viewing Opinion | Prepare well so that Hong Kong can benefit from advances in the hydrogen sector

Opinion | Prepare well so that Hong Kong can benefit from advances in the hydrogen sector

Keeping up with the times may not be the Hong Kong government’s strong suit, but efforts have been made to fill the gaps. The use of green hydrogen energy is a typical example.

After Beijing released an ambitious roadmap to develop the hydrogen economy in 2020, local authorities are now working on a blueprint for the promising new energy that will hopefully pave the way for wider use in the city while helping to reduce pollution and global warming.

In launching the hydrogen strategy, Environment and Ecology Minister Tse Chin-wan said the city should seize opportunities presented by developments in the country and elsewhere in the world in this field. This would not only help achieve carbon neutrality, but also stimulate innovation and new economic growth.

The plan envisages legislative changes in the first half of 2025 to create a legal basis for regulating the production, storage, transport, supply and use of hydrogen as a fuel and to formulate a certification standard consistent with international practices by 2027.

According to officials, the city can also become a model for the development of hydrogen energy in the country by leveraging its strengths as a “super connector” and “super value-added base” for potential foreign and mainland Chinese companies in the development of this new energy.

China’s ambitious efforts on this front have put Hong Kong in a strong position for change. The mainland authorities also announced a medium- and long-term plan in 2022 to make hydrogen a key component of the nation’s energy system in the future.

A local government working group has now approved 14 pilot projects. Although hydrogen is a promising fuel, it is still in the early stages of development internationally.

Some studies have questioned whether this energy is really as clean and efficient as claimed. Ultimately, the pace and extent of its use will depend on whether it is more cost-effective than other renewable energies.

The government is well aware of these conditions and stresses that flexibility is required in implementing the plan. The city is also dependent on the mainland for its hydrogen supply and therefore cannot build the hydrogen economy on its own.

Creating the appropriate political and legal framework is only the first step. Problems such as cost efficiency, infrastructure, production and marketing make wider use impossible in the short term.

Authorities should closely monitor progress on the mainland and abroad and prepare the city accordingly. From local regulation and regional cooperation to more testing and financing, a clear roadmap is needed showing how Hong Kong can rise to the challenge and become a “showcase” of the country’s hydrogen economy.

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