************************************************
The Council for Sustainable Development published its report on Better Air Quality today (November 17), putting forward a total of 14 recommendations for the Government's consideration. These involve institutional issues, as well as issues relevant to the electricity generation, transport and industry sectors. The Government has responded positively to the Council's recommendations. Details of the Government's responses are set out below.
Institutional Issues
--------------------
* Review Hong Kong's air quality objectives against World Health Organisation guidelines
The Government plans to commission a comprehensive study in early 2007 to review the air quality objectives and develop a long-term air quality management strategy for Hong Kong, to be followed by a public engagement process.
Electricity Generation Sector
-----------------------------
* Assign priority to the sourcing and combustion of ultra-low sulphur coal
As part of the best practicable means for reducing emissions, the power companies have been banned from using coal with sulphur content higher than 1%. The Government has also urged the companies to use cleaner coal as far as possible. The actual sulphur content of coal burnt by the companies has now gone down to about 0.4%.
* Accelerate the installation of flue gas desulphurisation equipment for coal burning units owned by CLP and HEC to before 2010
The Government has urged the power companies to take timely actions to achieve the emissions caps of 2010, including speeding up retrofitting existing coal plants with flue gas desulphurisation units. Hongkong Electric Company Limited (HEC) has agreed to take all practical measures to reduce emissions from power generation and will work with the Environmental Protection Department (EPD) with a view to achieving the 2010 emission caps on time. CLP Power Hong Kong Limited (CLP Power) is also considering accelerating the programme for early completion.
* Facilitate the use of liquefied natural gas (LNG) as a clean fuel
CLP Power submitted a Financial Plan and an Environmental Impact Assessment Report for its proposed LNG receiving terminal in late August and late October 2006 respectively. The Government is assessing CLP Power's proposals and will facilitate the process as far as practicable.
* Develop a clear policy on the transmission of electricity across the boundary to minimize adverse impacts on air quality
The Government's policy is to set clear and progressively tightened caps on the total emissions of power companies, including emissions arising from power generation for transmission to the Mainland, such that the 2010 emission reduction targets can be achieved. The power company concerned may consider, among other options and alternatives, reducing electricity supply to the Mainland as a means to meet the caps.
Transport Sector
----------------
* Accelerate the conversion of light vehicles to cleaner fuels such as LPG and more upgrades to the Euro IV standard
The Government has provided financial incentives for light buses to switch to LPG or electric models. By September 2006, about 56% of public light buses are using LPG. In the 2006-07 Policy Address, the Chief Executive announced that the Government would spend $3.2 billion to provide an incentive for the early replacement of all pre-Euro and Euro I diesel commercial vehicles with Euro IV vehicles. The proposal includes replacing pre-Euro and Euro I diesel light buses with Euro IV standard LPG light buses.
* Ensure all applicable medium and heavy vehicles and non-franchised buses are equipped with catalytic converters and particulate traps (for older vehicle versions)
Starting from April 1, 2006, all pre-Euro diesel vehicles, except those that need to run their engines while stationary to operate their on-board equipment, are required by law to be installed with approved emission reduction devices. The Government has also proposed to extend the statutory requirement to this remaining group of vehicles.
* Accelerate the retrofitting of particulate traps on franchised buses and phase out old versions
All pre-Euro and Euro I franchised buses have been retrofitted with emission reduction devices. The Government encourages franchised bus companies to retrofit all their Euro II and III buses with diesel particulate filters (DPF). By September 2006, about 900 (24%) Euro II and III franchised buses have been so fitted. The Government will continue to work with the franchised bus companies to examine the performance of DPF on Euro II and III buses in Hong Kong with a view to stepping up the companies' retrofitting programme.
* Prevent Hong Kong vehicle owners from filling their tanks with low-grade, high-sulphur diesel in the Mainland
The best approach is to work with the Mainland to improve the quality of the diesel sold there. Guangdong reduced the sulphur content in diesel from 0.5% down to 0.2% in 2002. In 2004 Guangzhou and Shenzhen started supplying diesel with fuel sulphur content below 0.05%, i.e. with 90% sulphur content removed. With effect from September 2006, diesel with fuel sulphur content below 0.035% has been supplied in Guangzhou. The Government will continue to work with the Mainland.
* Encourage the uptake of hybrid vehicles
The Government will promote, with effect from April 1, 2007, the use of environment friendly private cars through a 30% reduction in their First Registration Tax, subject to a cap of $50,000 per vehicle.
In relation to the Council's concern about the optimum mix of transport mode to balance transport convenience and clean air, the Government's policy is to accord priority to railways so that they form the backbone of our passenger transport system supplemented by feeder services using other public transport modes. At present, three railway projects, namely the Sheung Shui to Lok Ma Chau Spur Line, Kowloon Southern Link and Tseung Kwan O South Station, are under construction, while the Government continues to actively pursue the planning of various proposed railway projects.
Industry Sector
---------------
* Accelerate the proposed cap on the volatile organic compound (VOC) content in materials in HK
The Government will introduce to the Legislative Council within 2006 a new regulation to impose a maximum limit on the VOC contents in paints, printing inks and selected consumer products, as well as to control emissions from the printing process. The first batch of requirements will become effective in 2007.
* Mandate the switch from industrial-grade diesel to ultra-low-sulphur diesel for industry, catering, construction, port and ferry activities, and promoting a similar change in the Pearl River Delta (PRD)
The Government has already taken the lead to require all Government works projects to use ultra-low-sulphur diesel. At the same time, under the PRD Regional Air Quality Management Plan, the Guangdong authorities are committed to establishing by 2010 a diversified energy production and supply system that is safe, stable, economical, efficient and clean. The Government will continue to work closely with our Guangdong counterparts on this front.
* Promote cleaner production methods for HK-owned business in the PRD
The Government engaged a consultant in November 2006 to conduct a Cleaner Production Technical Support Pilot Project. The purpose of the project is to raise PRD manufacturers' awareness and understanding of energy efficient and cleaner production measures that can be adopted to improve air quality, through real-case examples of technology demonstration.
* Develop a green procurement, merchandising and investment code for business activities in the PRD by local and foreign chambers of commerce
Our business community has taken the initiative to sign a Clean Air Charter, a business sector-wide effort initiated by the Hong Kong General Chamber of Commerce to improve air quality in Hong Kong and the PRD. The Government will show the support by signing the Charter also. The Hong Kong Federation of Industries has launched the One-One-One Scheme to encourage green and clean business practices. We consider that market forces have an important role to play in improving air quality in the region.
In addition, the Council has identified four areas that require further public engagement, and these will form the basis of the Council's upcoming engagement process on the topic. These include actions to be taken on days with a high Air Pollution Index, demand side management, banning idling vehicles and congestion charging mechanisms. The Government welcomes the Council's efforts and plans to establish rapport with the community and build consensus on issues pertinent to Hong Kong's air quality in the long run. Indeed, the Government has already undertaken in the 2006-07 Policy Address to consult the public on whether to legislate against idling engines.
The Government will continue to join hands with the Council and the community on various measures seeking to improve our air quality, as well as other issues pertinent to Hong Kong's long-term sustainable development.
Ends/Friday, November 17, 2006
Issued at HKT 20:05
NNNN
