Review on application and feasibility of biodiesel in Hong Kong and how government policies can support industry efficiency?

Abstract

Hong Kong is vulnerable to energy and economic security due to the heavy dependence on imported fossil fuels. Waste has also been a major environmental management problem due to the amount of rubbish produced every year but lacking the technology and capital to manage different types properly. The objective of the dissertation is to study the feasibility of the use of biofuel in Hong Kong by recycling local waste. Current government policies in Hong Kong and overseas are being investigated on the appropriateness for domestic use. Literature reviews and stakeholders’ questionnaires are accounted to analyse the adaptability and popularity of the biodiesel application.

The methodology of the dissertation is to firstly examine literature reviews regarding biodiesel’s environmental aspect, technical efficiencies, economic aspect, government incentives and tax constraints. The consensus outcome of these researches advocated high popularity of biodiesel consumption and production in Europe and U.S. due to lower environmental impact, equivalent output efficiency and strong government support. Their successful implementation is a good example to improvise biodiesel domestically in Hong Kong.

Secondly, interviews were conducted with Hong Kong’s limited stakeholders. Respondents such as Hong Kong International Airport, Hong Kong Jockey Club, Fairwood Fastfood MTR Maritime Square were interviewed as these participants have been the pioneers in Hong Kong by recycling waste into biodiesel. On the production side, two out of three bio-refineries in Hong Kong provided their business sustainability and feasibility comments to pursue a long term goal. The limitation on responses might be focused solely on a few peer groups, and not the appropriate stakeholders with proper sampling size. However, the results are concurrent that biodiesel is one of the best alternative energy in Hong Kong. The dissertation draws positive results based on the following factors. Biodiesel can diminish the tremendous cost on waste management and landfill dumping. Using local food waste and industrial wastes from restaurants and food factories as feedstock to produce biodiesel is positive. This will also minimise the heavy reliance on imported fossil fuels to diversify energy sources. Refuelling of biodiesel fuel can be performed in any gas stations with the use of the existing infrastructure without any further requirement of new investment.

Nonetheless, in order to facilitate the use of biodiesel, incentives programmes initiated by Hong Kong Government and the biofuel producers have to coherently promote this alternative fuel. The conclusion states that Hong Kong is completely feasible to adopt the use of biodiesel in medium to heavy sized vehicles and vessels in the commercial sector. The environmental benefit of Hong Kong using biodiesel stood out compared to other form of renewable energy.