China Severly Limits Coal Liquification Projects

Thursday, September 11, 2008 8:23
Posted in category Policies and Issues

Several websites are reporting on the fact that the NDRC (National Department and Reform Commission) has issued a circular severely limiting coal liquification projects in China.

According to RSC coverage:

According to a notice posted on its website on 4 September 2008, NDRC has now ordered that all CTL projects – except an ongoing one by Shenhua, China’s largest coal producer, and a joint venture between Shenhua and South Africa’s Sasol – must be stopped.

It is something that we have seen warning signs for a while as CTL plants proliferate as China taps vast coal reserves and China has begun looking at way sto inprove efficiency rather than find new ways to continue drilling like many American Political candidates have suggested doing.

Generally, I believe this to be a good move as it shows signs that policy makers are realizing that some resources have a cost that is too great, and what is interesting is that it appears that a large driver of this decision comes from a concern over the amount of water than this process takes.

Showing me that China may actually value water more than oil… a discussion/ realization I am glad to see to see take place in so far as we need to find ways to develop economic that use less carbons (solid, liquid, and gas).

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One Response to “China Severly Limits Coal Liquification Projects”

  1. Coal gasification says:

    January 12th, 2009 at 2:21 am

    Gasification is the first step for IGCC electricity generation, which is more efficient than conventional coal combustion. Gasification also produces a much higher concentration of carbon dioxide than direct combustion of coal in air, which makes carbon capture and storage more economical.

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