Climate change: Towngas, French energy group to launch Hong Kong’s first green hydrogen project

The Hong Kong and China Gas Company (Towngas) has teamed up with the French water, waste and energy group Veolia to launch the city’s first green hydrogen project, which will convert biogas from a landfill site into a sustainable fuel.

Towngas and Green Valley Landfill, a subsidiary of Veolia, signed an agreement on Tuesday to jointly develop the facility at the South East New Territories Landfill Extension (Sentx) in Tseung Kwan O. The launch of the project comes a day after the government released its strategy for hydrogen development.

The initiative aims to convert rubbish into energy by using biogas to produce green hydrogen, and to promote a range of hydrogen energy applications, according to a joint statement from the companies.

The first batch of locally produced green hydrogen is expected to be available next year. The projected daily production capacity of around 330kg of hydrogen will be enough to power seven or eight hydrogen buses for a full day.

“The pilot cooperation between Veolia Hong Kong and Towngas is the first local green hydrogen production demonstration project, playing a pioneering role in advancing Hong Kong’s low-carbon hydrogen energy development,” said Tse Chin-wan, the secretary for environment and ecology, at the launch ceremony on Tuesday.

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“Looking ahead, the government will continue to support and encourage the industry to explore more diverse hydrogen energy trials and collaborative projects, jointly supporting the promotion of hydrogen energy applications and industrial development, with the aim of accelerating Hong Kong’s low-carbon transformation and the development of new quality productive forces.”

Under the strategy published on Monday, city authorities will promote hydrogen technology through four objectives – improving regulations, setting standards, facilitating the market and “advancing prudently”.

Located at the Sentx landfill site, the project includes a new hydrogen production unit, transmission facilities, and a hydrogen refuelling station. Towngas and Veolia will collect biogas from the waste and convert it into green hydrogen using so-called steam methane reforming (SMR) technology through the facilities.

The project was approved by the interdepartmental working group on using hydrogen as fuel led by the Environment and Ecology Bureau in March this year, with production expected to commence in 2025.

“Towngas has the infrastructure advantage for hydrogen transmission and supply, and therefore can provide green hydrogen to millions of households in Hong Kong,” said Peter Wong Wai-yee, managing director of Towngas, in a statement.

“This project is about taking the lead, starting small but moving quickly to promote the future development of the hydrogen energy industry, bringing harmony and prosperity to every home.”

Veolia’s collaboration with Towngas demonstrates the importance of partnerships in accelerating decarbonisation efforts, said Laurent Pelletier, CEO of Veolia Hong Kong and Macau.

“This green hydrogen project is an example of replicating Veolia’s experience abroad to promote more waste-to-energy projects in Hong Kong and participate in the carbon neutrality objectives set by the government,” said Pelletier.

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