(6 April 2009, Hong Kong) Business Environment Council and Scotland Development International co-organized the "Scotland and Hong Kong – embracing renewable energy" seminar, with the endorsement from the Independent Power Producers Forum (ippf). Dr Andrew Thomson, CEO of BEC facilitated the seminar, where about 80 renewable energy experts and policy makers from Scotland and Hong Kong participated.

The Rt Hon Alex Salmond MP MSP, The First Minister of Scotland began with a speech on the government’s role in fostering the growth of renewable energy amid the current economic situation. He shared the strength and experience of the Scottish Government has, on the creation of atmosphere for the technologies and businesses that favour the development of renewable energy. He elaborated role of Government in initiatives provision over 2 aspects: innovation and the investment climate.

Salmond: Government is vital in building the necessary infrastructure for Renewable Energy

The HK$115 million worth Saltire Prize is a major initiative that the Scottish Government has done to promote innovation on designing, building and deploying renewable technology in Scotland. It is one of the biggest international Government innovation prizes in history, as Rt Hon Salmond said. The prize itself attracted 98 registers of interest from 23 countries in a few months.

The other key for renewable energy to grow is the fostering of investment climate through legislation. Rt Hon Salmond said that the Scottish government have recently introduced a Scottish Climate Change Bill to its Parliament, for an 80% reduction of greenhouse gas emission by 2050. “We believed that the bill is the most ambitious legislation of its kind in the world. My government is working to put Scotland at the very forefront of the development of clean energy, and the fight against climate change." he said.

He also believed that international co-operation is the key to push the growth of renewable energy. "A robust global agreement is vital to help set an efficient carbon price, and to give industry the signal to commit fully to clean, low carbon energy. Governments have a vital role in building the necessary infrastructure to support growth."

HK Government: clear direction with target for renewable energy generation

To echo Rt Hon Salmond’s point of views, Ms Anissa Wong, Permanent Secretary for the Environment, Hong Kong SAR Government, said that the Government has set a target of 1-2% of the territory’s total electricity supply met by renewable energy by 2012, where sources like solar, wind and energy from waste are counted.

"This target, though modest, points to a clear direction where the policy makers, power companies, developers and even users of electricity could join hands to achieve in their project design, installations and even day-to-day operations." said Ms Wong.

In fact, the Hong Kong Government tried to lead by example on the adoption of renewable energy facilities. Examples like large-scale solar water heating installations in government buildings, and the use of biogas generated during the sewage treatment process, which can be used for electricity generation and other process. Besides, Ms Wong unveiled that the Hong Kong Government is planning two waste management facilities for the generation of renewable energy, which can be powered by substantial amount of municipal solid wastes (MSW), generated from dense population and numerous economic activities everyday in Hong Kong. These two waste treatment facilities are planned to be commissioned by the mid-2010's.

Like the Scottish Government, the Hong Kong SAR Government also provided initiatives through legislation that works with the private sector. To power companies, as Annisa said, financial incentives were offered. "They could enjoy a higher permitted rate of return for their investment in renewable energy facilities, and bonus will be offered in accordance with the extent of usage of renewable energy in their electricity generation."

CLP: First target of renewable energy generation for 2007 reached

Power companies are the key players in the field of renewable energy. Mr Andrew Brandler, Group Chief Executive Officer, CLP Holdings Limited, said that CLP has committed to renewable energy provision through its "Air Quality Manifesto” and “CLP Climate Vision 2050”, which unveiled in 2004 and 2007 respectively. The power company targeted a 5% commitment on generating capacity from renewable energy source by 2010, where wind, hydro, biomass and solar energy are considered. In fact CLP has achieved the 5% target in 2007, 3 years ahead of its schedule. CLP also have a target of 20% generation capacity from non-emitting sources by 2020.

Mr Brandler even suggested solutions towards a low carbon economy in Hong Kong. On the supply side, he suggested an increase of the use of low carbon-emitting energy generation, like natural gas; while for the demand side is the promotion of energy efficiency that reduce carbon dioxide emission. For example, new building codes and energy-cum-carbon audit are helpful in combating carbon emission. The promotion of electric vehicles and develop charging facilities also helps.

"The global energy challenge on sustainability is about the balance among Economical, Social and Environmental aspects." He said

Research and business opportunities that brings brighter future on Renewable Energy

Research and Business opportunities are also the key players that enable the development of renewable energy. Professor Jim Macdonald, Principal of Strathclyde University and Director of the Institute and Environment, also the Director of the Institute and Environment, Scotland, outlined key areas in which Scotland is playing a leading role in the research for renewable energy.

He said that Scotland is experienced in technologies that make use of onshore & offshore wind, marine technologies, hydrogen, fuel cells and bio-fuels. Scotland is also experienced in the technology on transmission & distribution of renewable energy, like the new architectures in power networks, including off-shore grid systems (High-voltage Direct Current, HVDC) and SMART grids.

Even the traditional way of power generation can give us some thoughts. As Professor Macdonald told the participants, green ways of traditional energy use like clean coal, new technologies on carbon capture, and the decommissioning of nuclear power are there for the world to explore.

On the business side, Mr Jack Perry, Chief Executive of Scottish Enterprise, addressed the business opportunities on renewable energy that Scotland captured. According to Mr Perry, Scotland has the target for adopting renewable energy, which is at least 50% of all electricity and 20% of the total energy needs from renewable sources. This target is higher than most of European countries. In achieving this, the Scottish Government encouraged its major electricity suppliers to increase the proportion of electricity sources from renewable sources.

The Renewables Obligation Act, which provides electricity suppliers with renewable obligation certificates, was therefore introduced by the Scottish Government. As a result, significant infrastructure investment from major electricity suppliers has made. For example, the Scottish & Southern Energy has invested £600 million in a Clyde Estuary onshore wind farm which power up to 320,000 homes by 2011.

"The technology we are developing in Scotland can be applied by companies around the world. We are committed to working together with Hong Kong companies and looking for opportunities that are mutually beneficial for Hong Kong, China and Scotland." said Perry.