CLP chief tells Hong Kong to align power grid with growth plans
As Hong Kong drafts its first Five-Year Plan, CLP's Joseph Law warns that treating the power grid as a background utility rather than strategic economic infrastructure risks stalling data centre expansion and delaying decarbonisation targets.
Joseph Law, Managing Director of CLP Power Hong Kong Limited, is urging policymakers to elevate electricity to the status of strategic economic infrastructure as the city drafts its inaugural Five-Year Plan for 2026–2030.
The appeal is directed at developers and investors eyeing the Northern Metropolis, a planned innovation hub. Law notes that modern data centres demand massive, stable power, warning that digital and power infrastructure are inseparable.
Without early coordination between the government and the power sector, Law argues that strategic projects face delivery delays and increased long-term societal costs. He has recommended establishing a computing-power coordination mechanism to align grid upgrades with new digital facilities.
Hong Kong’s target of carbon neutrality before 2050 adds pressure to overhaul energy sourcing. CLP is increasing nuclear and renewable energy imports from Guangdong and expanding local renewable development to meet this demand.
The utility currently maintains 99.999% supply reliability through a diversified mix of natural gas, coal, and Daya Bay nuclear power. To future-proof this baseline, CLP is testing hydrogen-blended natural gas at its Black Point Power Station, with the pilot expected to conclude by 2028, while exploring carbon capture feasibility.
Financing the transition represents a critical hurdle for the market. Law called for accelerating the Hong Kong Taxonomy for Sustainable Finance to bridge mainland and international standards.
Beyond data centres, the grid must accommodate broader electrification across transport and maritime sectors. Law advocates for stronger incentives to phase out internal combustion commercial vehicles and positioning shore power as critical port infrastructure to maintain the city's competitive edge.
