One Of Hong Kong’s Oldest And Biggest Shipping Companies Is Looking To Startups For New Ways To Go Greener

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Wah Kwong, led by chairman Hing Chao, is diving into the startup world in search of new ideas to cut carbon emissions, making investments in a wind-power startup in Ireland, forming a strategic partnership with a Shenzhen-based AI startup and establishing a dedicated sustainability investment unit in London.

“Whether it’s ammonia or methanol, if it’s green, it will derive from hydrogen, and hydrogen will be produced most effectively by the sea,” said Chao, who is also chairman of Italian certification group RINA’s Asia decarbonization committee. Ammonia and methanol are cleaner-burning, but more expensive, alternatives to heavy fuel oil that powers much of the world’s commercial vessels. For the hydrogen to be considered green, it needs to be produced using renewable energy, such as wind.

Ammonia and methanol, as well as liquefied natural gas, are among several being floated as possible cleaner alternatives to bunker fuel, making it difficult to find consensus. “If you look at how complex shipping is—the different types of cargo, different types of trade routes, different types of infrastructure and the different stages of economic development in different ports—there is no single solution,” said Chao. “A lot of propositions and ideas have been put forward, but not enough action.

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