Towngas marches on with Hong Kong’s ups and downs

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The utility’s colourful history dates back 154 years to early colonial times

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Towngas managing director Alfred Chan. Photo: Nora Tam

Eric Ng

Published: 10:00pm, 4 May 2016Updated: 12:08pm, 5 May 2016

Since its establishment 154 years ago with a capital of only 35,000 British pounds in the early colonial days, Hong Kong and China Gas (Towngas) has come a long way as a provider of cleaner-burning energy.

Its story began when British entrepreneur William Glen won a concession from the Hong Kong government in 1861 to light the city. Instead of raising money in Hong Kong, he registered the firm the following year in London and sold shares mainly to investors in Britain.

This picture shows one of the four gas lamps at the top and foot of the stone steps at Duddell Street. The lamps, which were declared historical monuments by the Hong Kong Government in 1979, are the only four surviving gas lamps in the city. Towngas continues to operate the lamps as objects of historical interest. Photo: SCMP Pictures

As the oldest public utility company and one of the oldest listed companies in the city, Towngas started with a single plant in today’s Western district making combustible gas from coal, 24 kilometres of gas pipelines and 500 gas-powered street lamps dotting the Central and Western districts of Hong Kong Island.

An undated file photo showing technicians from Towngas checking the source of gas leakage in Central. Photo: SCMP Pictures

The fact that key decisions for the firm were made by a board in Britain unfamiliar with Hong Kong led to a missed opportunity when it decided against applying for a concession to supply electricity in the city. This saw the formation of an electricity company to rival Towngas in the lighting business.