Hong Kong and China Gas Company Limited, commonly known as Towngas, and The Hong Kong Polytechnic University have signed a cooperation agreement to develop a blockchain-based management platform for green fuels and chemicals, according to a company announcement.

The initiative is designed to improve the certification, traceability and commercial use of green products through a digital framework that records information throughout each product’s lifecycle. The platform is expected to initially support the green fuels and chemicals operations of VENEX, a Towngas Group subsidiary, at production facilities in Inner Mongolia and Foshan.

The system will cover the green product supply chain from feedstock procurement and production through certification, logistics and end-use applications. The organizations said it would provide technical support for green value certification while creating mechanisms to track products across the supply chain.

The platform is also expected to assign digital identities to green fuels and chemical products and establish electronic certification systems that make product information easier to verify. These functions are intended to create a unified digital system for managing green value from production to final use.

Certification and Supply Chain Transparency

A central objective of the project is to strengthen the reliability of environmental claims associated with green fuels and chemicals. Blockchain-based records are expected to help protect certificates, inspection reports and other supporting documents from unauthorized alteration or forgery.

The technology could also allow stakeholders to trace product information across multiple stages of the supply chain. Such capabilities may become increasingly important as companies and regulators place greater emphasis on demonstrating the environmental characteristics and origin of products marketed as green.

Towngas and PolyU intend for the platform to improve the international recognition of green product certification results. By maintaining verifiable digital records, the system could give overseas buyers, certification organizations and other market participants a more consistent method for assessing green attributes.

The partners also expect the platform to help quantify and demonstrate the environmental value generated by green products. This could support mechanisms for assigning greater economic value to environmental attributes that are currently difficult to measure or verify across complex supply chains.

Industry and Research Expertise

The collaboration combines PolyU’s research capabilities in blockchain technology, data science and digital innovation with Towngas’s experience across the green fuels and chemicals value chain.

Towngas Group Chief Technology Officer and Chief Operating Officer for Green Fuels and Chemicals Sham Man-fai said the project reflected the growing importance of green value in the energy transition and industrial upgrading. He indicated that blockchain could help establish a trusted framework in which green attributes are accurately recorded and independently verified.

The companies expect the technology to create a digital foundation for green product trading, the circulation of green value and the future development of green finance. The initial deployment through VENEX is also intended to serve as a demonstration model for digital green value management. Towngas said the model could eventually be replicated and expanded across additional operations and supply chains.

Potential Foundation for Green Finance

Beyond supply-chain management, the project could provide infrastructure for applications involving green assets. Reliable digital certification and traceability could make it easier to connect verified environmental attributes with trading, financing and other commercial activities.

The companies plan to conduct further research into standards for green value certification, digital traceability mechanisms and models for managing green assets. They also intend to work with supply-chain participants, certification organizations and international markets as the platform develops.

By combining blockchain-based certification with lifecycle traceability, the initiative is designed to make the environmental value of green fuels and chemicals more measurable, verifiable and usable across commercial markets. The project highlights the expanding role of digital infrastructure in China’s green transition, as companies seek to connect physical production with verifiable environmental data and emerging financial applications.