China unveils two-year plan for energy conservation and carbon reduction
2024-05-30 15:35:03 [Print]
China's State Council has issued an action plan for energy conservation and carbon reduction during 2024-2025, aiming to reduce energy consumption and carbon dioxide emissions per unit of GDP by 2.5% and 3.9% respectively in 2024, when the energy consumption per unit of added value of industrial enterprises above the designated size will be reduced by around 3.5%, according to the plan.
The plan added that the proportion of non-fossil energy consumption will reach around 18.9% in 2024 and 20% in 2025. Energy conservation and carbon reduction transformations in key sectors and industries are expected to result in a reduction of around 50 million tonnes of standard coal and a decrease in carbon dioxide emissions by around 130 million tonnes, both in 2024 and 2025.
For the steel industry, China will strengthen regulation of steel capacity and output and strictly prohibit capacity expansion in the name of machining, casting, ferroalloy and other fields during the two-year period. The country vows to optimize steel product mix by developing high-end special steels and restricting exports of low valued-added raw materials, advance the integration of steelmaking, coking and sintering processes, promote recycling and use of steel scrap, and speed up transition toward short process steelmaking. By the end of 2025, the output of electric furnace steel is expected to account for 15% of the total crude steel production, with steel scrap consumption to reach 300 million tonnes, and energy conservation and carbon reduction transformations in the steel industry are expected to result in a reduction of around 20 million tonnes of standard coal and a decrease in carbon dioxide emissions by around 53 million tonnes during the period, according to the plan.
For the non-ferrous metal sector, the country called for rigorous implementation of primary aluminum capacity replacement, strict control on capacity expansion for the refining of copper and alumina, and improved capacity expansion planning for nonferrous metals including silicon, lithium and magnesium. The action plan also promotes the development of secondary metal industry, aiming to increase the proportion of recycled metals in total supply to over 24% by the end of 2025, with more than 90% of liquid aluminum for direct alloying. In addition, the industry will insist on high threshold for new and expansion projects.
The action plan encourages the use of advanced technology, such as highly effective and stable electrolysis process for primary aluminum, continuous converting of copper matte, vertical reduction furnace for magnesium smelting, and large submerged arc furnace for silicon smelting, as China accelerates the industrial transition toward energy conservation and decarbonization. The country expects the proportion of primary aluminum production capacity above the energy efficiency benchmark level to reach 30% and that for copper and zinc to hit 50% by the end of 2025, with capacity below standard level upgraded or eliminated. The energy conservation and carbon reduction transformations in the non-ferrous sector are expected to result in a reduction of around 5 million tonnes of standard coal and a decrease in carbon dioxide emissions by around 13 million tonnes in 2024 and 2025, according to the plan.
The plan added that the proportion of non-fossil energy consumption will reach around 18.9% in 2024 and 20% in 2025. Energy conservation and carbon reduction transformations in key sectors and industries are expected to result in a reduction of around 50 million tonnes of standard coal and a decrease in carbon dioxide emissions by around 130 million tonnes, both in 2024 and 2025.
For the steel industry, China will strengthen regulation of steel capacity and output and strictly prohibit capacity expansion in the name of machining, casting, ferroalloy and other fields during the two-year period. The country vows to optimize steel product mix by developing high-end special steels and restricting exports of low valued-added raw materials, advance the integration of steelmaking, coking and sintering processes, promote recycling and use of steel scrap, and speed up transition toward short process steelmaking. By the end of 2025, the output of electric furnace steel is expected to account for 15% of the total crude steel production, with steel scrap consumption to reach 300 million tonnes, and energy conservation and carbon reduction transformations in the steel industry are expected to result in a reduction of around 20 million tonnes of standard coal and a decrease in carbon dioxide emissions by around 53 million tonnes during the period, according to the plan.
For the non-ferrous metal sector, the country called for rigorous implementation of primary aluminum capacity replacement, strict control on capacity expansion for the refining of copper and alumina, and improved capacity expansion planning for nonferrous metals including silicon, lithium and magnesium. The action plan also promotes the development of secondary metal industry, aiming to increase the proportion of recycled metals in total supply to over 24% by the end of 2025, with more than 90% of liquid aluminum for direct alloying. In addition, the industry will insist on high threshold for new and expansion projects.
The action plan encourages the use of advanced technology, such as highly effective and stable electrolysis process for primary aluminum, continuous converting of copper matte, vertical reduction furnace for magnesium smelting, and large submerged arc furnace for silicon smelting, as China accelerates the industrial transition toward energy conservation and decarbonization. The country expects the proportion of primary aluminum production capacity above the energy efficiency benchmark level to reach 30% and that for copper and zinc to hit 50% by the end of 2025, with capacity below standard level upgraded or eliminated. The energy conservation and carbon reduction transformations in the non-ferrous sector are expected to result in a reduction of around 5 million tonnes of standard coal and a decrease in carbon dioxide emissions by around 13 million tonnes in 2024 and 2025, according to the plan.
Aluminum Ingot 99.7%min In warehouse Foshan
Unit:RMB/mt
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Unit: mt
