Hong Kong received first LNG shipment to reduce coal reliance

Stephen Stapczynski, Bloomberg May 09, 2023

(Bloomberg) – Hong Kong received its first ever shipment of liquefied natural gas (LNG) amid a wider push to reduce reliance on coal.

An LNG vessel carrying the cargo arrived in the city on Saturday to support commissioning work for an offshore import terminal commencing this week, according to a spokesperson from CLP Holdings Ltd., which supplies electricity to the territory.

The rapid decline in LNG prices is rekindling plans from Hong Kong to Vietnam to begin importing the fuel. The financial hub had hoped to start importing the super-chilled fuel sooner, but its plans were delayed by Covid-19 and then last year’s global energy shortages.

Coal makes up almost a quarter of Hong Kong’s electricity mix, and authorities have previously set an interim target to cease using the fuel for daily electricity by 2035.

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