Hong Kong looks to LNG to cut emissions

The special administrative region has introduced the fuel as part of its drive for carbon neutrality, but it will take years for imports to ramp up

Hong Kong finally started importing LNG this summer, in a move expected to play a key role in reducing the carbon footprint of the Asian financial centre by displacing coal in power generation. This development also grants local gas users the flexibility to tap the global LNG market. But the city will likely need years to ramp up imports, meaning low terminal utilisation levels and only a modest initial impact on the Asian market. The world’s largest FSRU began commercial operations in Hong Kong in July after the city imported its first LNG cargo under a long-term contract with portfolio supplier Shell. Hong Kong LNG Terminal—a joint venture between local power utilities CLP Power Hong Kong