Energy Insider: Gas Gets Cheaper With Pricing Mechanism Changes; China Plugs in First National Green Tech Exchange
In today’s Caixin energy news wrap: China’s top economic planning body releases new rules to revamp natural gas pricing; eastern province Zhejiang prepares for rising power demand; Shanghai to add more fuel cell powered vehicles; and China’s first national exchange for green technology opens.
Shanghai outlines plan to promote hydrogen vehicles
The city of Shanghai plans to put 5,000 fuel cell vehicles into operation over the next four years as part of a demonstration project to promote clean energy transportation. The vehicles will include 3,400 fuel cell-powered trucks, 1,400 passenger vehicles and 200 buses, according to Chen Kele, deputy director of the Division of Intelligent Manufacturing Promotion of the Shanghai government. To support the use of the vehicles, Shanghai and several neighboring cities will build 72 hydrogen refueling stations, including 50 in Shanghai. The city currently has nine such stations. Fuel cells generate electricity without creating harmful emissions using chemical reactions involving hydrogen.
New regulations to lower price of natural gas
The National Development and Reform Commission (NDRC) issued two sets of guidelines regarding changes in the pricing mechanism for pipeline transportation of natural gas. The regulations are set to take effect Jan. 1, 2022, and are expected to reduce natural gas prices for end users.
Zhejiang prepares its response to rising power demand
The provincial government of eastern China’s Zhejiang province established a system for demand-based response and orderly power sharing to cope with mounting pressures on power supply and maintain balance during the summer peak. Several Chinese regions have been struggling to manage a summer surge in demand.
Jiaze New Energy, CRRC Fund Management to form wind power investment fund
Ningxia Jiaze New Energy Co. Ltd. (601619.SH) said it will establish a private investment fund with CRRC Fund Management (Beijing) Co. Ltd., CRRC Capital Holdings Co. Ltd. and SEPCO Electric Power Construction Corp. to invest in wind power projects. The Wind Energy Development Industry Fund is set to raise 1.6 billion yuan ($250.3 million), with 5 million yuan in the first phase.
China sets up first national green technology exchange
China’s first national green technology exchange was established in Zhejiang province, focusing on key technologies for the country’s low-carbon transformation. The center was revamped from the Innovative and Entrepreneurial Center of State Grid Zhejiang Electric Power Co. Ltd. The exchange listed the first batch of 30 technologies for trade, including carbon dioxide capture and resource utilization.
Zijin Mining signs exclusive sales agreement for Congo copper mine
Zijin Mining Group Co. Ltd. said Wednesday that production started May 25 at its copper mine in the Democratic Republic of the Congo (DRC). The project, with first-phase capacity to process 3.8 million tons of copper ore per year, is jointly held by Zijin Mining, Ivanhoe Mines Ltd. (Canada) and the DRC government. Gold Mountains (HK) International Mining Co. Ltd. — a wholly owned subsidiary of Zijin Mining — and Citic Metal (HK) Ltd. signed contracts entitling each to sell 50% of the output.
Deep Sea No. 1 energy station to start operation
According to a June 9 report from Xinhuanet, China National Offshore Oil Corp.’s Deep Sea No. 1 energy station, a domestically developed 100,000-ton deep-water semi-submersible production and storage platform, will enter operation by the end of June. It will provide a stable annual supply of 3 billion cubic meters of gas to Guangdong, Hong Kong, Hainan and other areas.
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