Study
on the Potential Applications of Renewable Energy in Hong Kong
(ACE Paper 5/2003)
For discussion
Introduction
This paper presents
and invites Members' views on the consultant's findings and recommendations
for Stage 1 of the "Study on the Potential Applications of
Renewable Energy in Hong Kong" before Government proceeds to
formulate a strategy to promote the wider use of renewable energy
in Hong Kong. It also informs Members of the progress of the Stage
2 demonstration project to evaluate the performance of various building-integrated
photovoltaic (PV) panels.
Background
2.The Electrical
and Mechanical Services Department (EMSD) commissioned a two-stage
consultancy study in November 2000 to investigate the feasibility
of wider application of new1 and renewable
energy2 technologies (collectively known
as renewable energy (RE) hereunder) in Hong Kong.
3.Stage 1 Study
evaluates the potential of various forms of RE for wide-scale local
use, and related legal, institutional and promotional issues. It
also makes recommendations for formulating an implementation strategy.
Stage 2 Study is a design-and-build project involving the installation
of different types of building-integrated PV panels in Wanchai Tower
so as to assess their performance under Hong Kong's weather conditions.
4.Stage 1 Study
has just been completed. Installation works for Stage 2 Study have
also been completed and the performance of the various types of
panels will be monitored until early 2004.
Key
Findings of Stage 1 Study
5.The following
sets out the consultant's key findings and recommendations:
- Upon reviewing
current technological trends and applications, and taking into
account Hong Kong's local characteristics, RE that are considered
potentially feasible3 for wide-scale
application in Hong Kong include -
i. |
solar
power; |
ii. |
wind
power; |
iii. |
building
integrated fuel cells; and |
iv. |
energy
from waste. |
- Major issues that may hinder wide-scale development of RE in
Hong Kong include -
| i. |
there
may not be suitable sites for implementing large-scale
RE projects; |
| ii. |
there
may be concerns about the visual, noise and possibly safety
impacts of some RE systems (e.g. wind turbines); |
| iii. |
the
current pricing of power supply has not taken into account
the environmental costs associated with combustion of fossil
fuel, which remains a major fuel source for energy production.
Thus power generated by the more environmental-friendly
RE appears to be comparatively more expensive than that
coming from conventional fossil fuel. In addition, the prevailing
regulatory framework tends to drive investment of power
companies towards the 'cheaper' conventional method of power
generation; and |
| iv. |
terms
and conditions for accessing the electricity grid by third
party including RE providers are currently set at the sole
discretion of the existing power companies. |
- In order
to create a positive market environment for wide-scale application
of RE, the consultant recommends the following measures:
| i. |
to
put in place a mechanism which would enable investors
in RE schemes to earn a reasonable or reasonably attractive
return; |
| ii. |
to
conduct necessary studies and develop guidelines and standards
to address potential concerns to be brought about by specific
RE systems; |
| iii. |
to
promote the public awareness of RE sources and technologies;
and |
| iv. |
to
improve the access of RE schemes to the existing power grid.
|
- The two power
companies in Hong Kong are each operating under a Scheme of Control
Agreement (SCA) with the Government, which will expire in 2008.
The SCAs provide a framework for monitoring the performance of
power companies so as to protect the interests of consumers. Under
the current SCA, power companies have no obligation to generate
electricity from RE sources or to offer grid access to independent
RE generators. The interim review on the current SCAs scheduled
for 2003 will give an opportunity for the Government and the power
companies to discuss issues relating to the development of RE
in Hong Kong.
- Taking into account the constraints of development of RE in
Hong Kong and the estimation of possible RE projects coming on
stream, the consultant recommends that the targets of contribution
from RE produced locally to annual electricity demand (against
the baseline year of 1999) should tentatively be set at 1% (355
Giga Watt hour, GWh) in 2012, 2% (710 GWh) in 2017 and 3% (1065
GWh) by 2022 respectively. These targets should then be reviewed
periodically in the light of RE developments in Hong Kong and
advancement in RE technologies in the international market.
The Executive
Summary of the Stage I Study is at Annex I.
Progress
of Stage 2 Study
6.The EMSD considers
that a stable and abundant supply of sunshine throughout the year
and the large number of buildings in Hong Kong have provided an
environment favourable for studying the feasibility of using building-integrated
PV systems. Stage 2 Study is a design-and-build project to install
such systems in Wanchai Tower. The installation works commenced
in late April 2002 and were completed in end 2002. The following
three types of PV panels, which cover a total area of 500 m2 with
an estimated total power output of 55 kW, were installed:
- rack type
on the roof top;
- sunshade
type from 1st to 12th floors; and
- skylight
type at the front entrance hall.
7.The performance of the PV systems will be monitored until early
2004. Technical data collected will be used to assess the efficiency,
stability and safety of such systems under Hong Kong's weather
conditions. The project also serves as a demonstration to educate
the public on the potential use of solar power.
Way
forward
8.As the Stage
1 Study has just been completed, the Government will need more time
to examine its findings and recommendations so as to formulate a
strategy to promote the wider use of RE in Hong Kong. After the
initial consultation with this Council and the relevant Legislative
Council Panel and other Government advisory bodies, we will upload
the Executive Summary of the Stage 1 Study to the Internet for general
access and circulate it to relevant stakeholders (such as green
groups, academia, business organizations) to seek their views on
the way forward. We will also take the opportunity to discuss with
the two power companies issues relating to the development of RE
in the context of the 2003 SCA Interim Review. However, it should
be noted that any proposed amendments to the SCAs will have to be
agreed by both the Government and the respective power companies
as provided under the prevailing SCAs. Due regard should also be
given to the reliability of electricity supply to consumers and
potential impact upon tariff levels.
9.In the meantime,
the Government will continue to take the lead in exploiting RE in
public works projects. A list of major projects that have been or
will be using RE is at Annex II. Furthermore,
the Civil Engineering Department has identified a man-made slope
in Lantau Island for carrying out a trial on the use of solar power
pumps for irrigating vegetation. The detailed design is near completion
and the tender for the installation work will be invited soon. Apart
from application of PV technologies, EMSD has also embarked on a
territory-wide wind measurement programme to collect site-specific
data for assessment of wind resources at selected sites in Hong
Kong. The preparatory work has already commenced and the wind measurement
programme is scheduled for completion by mid 2004.
Advice
sought
10.Members are
invited to offer views on the development of the RE having regard
to the findings and recommendations of the Stage 1 Study and note
the progress of the Stage 2 study.
Environment,
Transport and Works Bureau
Electrical and Mechanical Services Department
February 2003
1New
energy technologies include "non-conventional" power generation
as well as energy storage technologies such as fuel cells but they
are not necessarily renewable energy technologies.
2There
is no universally accepted definition for the term "renewable
energy" at present. Generally speaking, renewable energy sources
are secure and inexhaustible in the sense that there is no problem
of reserves being depleted.
3Other
new and renewable energy sources / systems reviewed include energy
from biomass, small-scale hydroelectric systems, geothermal energy,
tidal and wave power, and independent energy storage systems (which
permits excess electricity generated during the periods of high
availability of renewable energy and lower power demand to be transported
and stored, and released later during periods of lower resources
availability and high power demand).
Annex
II
Use of renewable energy in Government projects
I. Major RE
projects on Government buildings / amenity facilities that are in
operation
A.Solar Panels
for Water Heating
| Year |
Project |
Solar
Collection Area (m2) |
| 1999 |
Swimming
Pool Complex Area 7 Tsuen Wan |
313 |
| 2000 |
Sheung
Shui Slaughterhouse |
882 |
B.Solar Panels
for Power Generation
| Year |
Project |
Power
generation |
| 1998 |
Tai Mo
Shan Radar Station |
5.6kW |
| 2002 |
Science
Park Building 1 and 2 |
18kW |
| 2002 |
Wanchai
Tower |
55kW |
II.Major projects that
will utilize RE
A.Building Integrated
Photovoltaic Panels
| Project |
Power
generation (W) |
Progress |
Expected
completion date |
| Science
Park Phase 1b, Building 4 |
70,000 |
Under construction |
Q1 2003 |
| Science
Park Phase 1b, Building 5 |
50,000 |
Under
construction |
Q1
2003 |
| Castle
Pak Hospital Redevelopment - Phase II, Stage 2 |
30,000 |
Under construction |
Q4 2003 |
| Sha
Tau Kok Fire Station with Ambulance Facilities |
5,000 |
Under
construction |
Q3
2003 |
| Reprovisioning
of Police Dog Unit & Force Search Unit from the Burma Lines
Site to Sha Ling |
2,000 |
Under construction |
Q4 2003 |
| Science
Park Phase 1c |
60,000 |
Under
construction |
Q2
2004 |
| EMSD Headquarters
Building at Kai Tak |
350,000 |
Under construction |
Q2 2004 |
| Immigration
Service Training School & Perowne Immigration Centre, Tsuen
Wan |
7,000 |
Under
construction |
Q3
2004 |
| Fire station
with Ambulance Depot and Police Post at Penny Bay, Lantau |
85,000 |
Under construction |
Q4 2004 |
| Radiotherapy
Centre and Accident & Emergency Department at Princess Margaret
Hospital |
18,000 |
Tendering |
Q1 2005 |
B.Solar Panels
for Water Heating
| Project |
Solar
Collection Area (m2) |
Progress
Expected |
completion
date |
| Braemar
Hill Fire Station cum Ambulance Depot |
135 |
Under construction |
Q4 2003 |
|
|