The CLP Group has set out how to grow its energy business across Asia Pacific for a low-carbon, digital future amid the rapid transformation in the power sector.
“The electricity supply industry is at the early stages of an exciting period of innovation and technological change. Improved technologies create new possibilities for us to deliver our products and services in a clean, reliable and affordable fashion, and to give our customers greater choice and control over the way they use electricity,” said CLP Holdings Chairman Sir Michael Kadoorie in the Annual General Meeting held in May.
He said CLP had seen an increased interplay between powerful digital technologies and more rapid adoption of renewable sources of energy. In view of these changes and the impact they may have on the company’s traditional utility businesses, CLP has made innovation a priority area of focus.
A new initiative was the launch of Smart Energy Connect (SEC), a new energy app store for smart businesses to access the latest energy management applications developed by CLP and its partners, with the aim of helping them manage their energy usage in a greener and smarter way.
CLP has also laid out its latest steps to help address the challenges associated with climate change while keeping its focus to support communities and power economic growth.
Last year, CLP announced strengthened Climate Vision 2050 targets, a commitment for decarbonisation originally made more than a decade ago. Targets include reducing the Group’s carbon intensity by 80 percent to 0.15kg CO2/kWh by 2050 and having 30 percent of renewable energy and 40 percent of non-carbon emitting energy in its portfolio by 2030.
To keep pace with the fast-changing environment, CLP has now undertaken to strengthen its targets at least every five years while taking steps to decarbonise across the different regions of operations.
In Hong Kong, CLP will operate two new gas-fired power generation units at Black Point Power Station. This will allow the gradual phaseout of the oldest coal-fired units at Castle Peak Power Station when they reach the end of their operating life in the mid-2020s. It is also constructing an offshore LNG terminal which will improve Hong Kong’s energy security with access to international sources of natural gas supplies.
In India, CLP expects its new partnership with Caisse de dépôt et placement du Québec (CDPQ) to grow its zero-carbon electricity generating portfolio in one of the world’s largest and fastest-growing economies at a time when the industry is ripe for consolidation.
As Australia transitions to cleaner energy, CLP will continue to focus on managing asset reliability and exploring the integration of flexible capacity options, including grid-scale batteries, pump storage, and gas plants that can be used at times of peak demand.
Further details on CLP’s purpose-led approach to growing its business and its focus on environmental, social and governance issues can be found in its new Sustainability Report and Annual Report.