Hong Kong Plans to Purchase Electricity from Chinese Mainland
In their efforts to reduce pollution and the dominance of two local utilities, Hong Kong is planning to push the use of electricity imports coming from the Chinese mainland. Several aging coal fired plants that supplies half of the city’s electricity will be shut down by 2014 and Hong Kong is now trying to decide if they need to double its mainland imports or triple t he use of natural gas in its local power generation so it will meet 60 percent of the city power needs.
Recently the city government wrapped up a three month public consultation in regards to the power supply and is expected to have a decision made before the year ends. Those involved in the discussions between officials. Power executives and other stake holders in which the government is leaning towards the option of importing power supply. Officials of the environment bureau and Hong Kong energy policymaker had long discussions on the advantages on what they call grid purchase option and highlighted the downside of local generation option.
By plugging Hong Kong to the electricity grid of the Chinese mainland will create competition for the local dominant utilities that are backed by wealthy families. Hong Kong is already met a fifth of its electricity demand using a dedicated line from Daya Bay Nuclear Power Station in Guangdong, but Hong Kong’s grid is not interconnected with China Southern Power Grid that supplies Guangdong with electricity along with four other southern provinces.