When one is asked to name the world's leading financial centers, in the West, London and New York are invariably mentioned, while in the East, Hong Kong just as readily springs to mind. The fact that a once sleepy fishing village can become a major center of financial activity speaks highly of Hong Kong and its ability to achieve greatness when the motivation is present.

Though the city owes much to the financial sector, it cannot grow complacent or be one-dimensional. Hong Kong must be able to rely on a number of industries to ensure that it has an economy that is self-sustaining in the years to come. Clearly, innovation and technology is one such sector. The attributes that have helped the city become a financial hub are the very same attributes that will enable it to become an innovation center. Its geographical location, which makes it both a gateway to the Chinese mainland and a springboard to the West remains a valuable asset, just as its human resources, both home grown and from abroad, will be the source of innovative ideas and commercial successes. The "One Country, Two Systems" policy, strong rule of law and healthy capital market are further attributes that Hong Kong can rely on. Forbes magazine recently ranked Hong Kong No 1 among the world's top four technology capitals to watch - so clearly, our potential is evident well beyond local borders.

According to the same publication, the city's start-up ecosystem, which includes the incubation programs offered by Hong Kong Science Park was among the factors that made the city "a compelling prospect in the near future". This nurturing ground is set to grow larger as Phase 3, the newest development of the park, will open in stages from year's end, with the final buildings to be completed in 2016.

The landmark project will encourage innovation among start-ups, small- and medium-sized enterprises (SMEs) and multinational corporations alike, with particular focus on developing environmental and renewable energy technologies and smart city solutions. Fittingly, practical green technologies will be employed - 38 in total - including hybrid and natural ventilation, photovoltaic systems and LED lighting.

As a result, the development will realize such targets as a 40 percent reduction in water usage, a 50 percent reduction in sewage discharge and an up to 70 percent reduction in electricity consumption over current levels in comparable buildings. These headline figures not only highlight what can already be achieved with today's smart solutions, but also provide motivation to develop even more effective technologies in the future.

Of course, state-of-the-art technologies represent just one facet of the green evolution. Promoting a green mindset is also essential. In the case of Phase 3, this will require all partner companies to adopt strict energy conservation practices as part of their lease agreement. Tenants will subsequently be able to benchmark their energy consumption pattern against the very best, which is the perfect incentive for underachievers to raise their game.

The ultimate objective of Phase 3, as with the other two phases of Hong Kong Science Park, is to provide a fertile environment and testing ground for new technologies and methodologies to be developed, honed, and then applied on a larger scale, whether in Hong Kong, the Chinese mainland or municipalities around the world. From these initial steps, and the sustained support of both the public and private sectors, will emerge the realization of a knowledge-based economy of which Hong Kong can be proud.

Hong Kong has shown it can be a leading player in areas such as financial and professional services and there is no reason why it cannot achieve a similar prominence in the world of innovation and technology.

The author is chairman of the Hong Kong Science & Technology Parks Corporation.

(HK Edition 04/13/2013 page6)