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Methanol vehicles enter a period of policy support

2019-03-28View Original

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Methanol-powered vehicles receive policy support Author/Source: Date: 2019-03-28 Clicks: 5 A few days ago, **eight ministries and commissions jointly issued the \"Guiding Opinions on Promoting the Use of Methanol-powered Vehicles in Certain Areas\" (hereinafter referred to as the \"Opinions\”), aiming to accelerate the adoption of such vehicles, diversify fuel options for vehicles, and ensure energy security. In particular, in regions such as Shanxi, Shaanxi, Guizhou, and Gansu, which have favorable resource conditions and experience in the operation of methanol-powered vehicles, the use of M100 methanol-powered vehicles is to be accelerated.   Ye Shengji, deputy secretary-general of the China Association of Automobile Manufacturers, said in an exclusive interview with a reporter from the Economic Daily that for a long time, the automotive industry has encouraged regions with the necessary conditions to develop methanol-powered vehicles to an appropriate extent. The issuance of the ‘Opinions’ means that there is **policy support** for the development of methanol-powered vehicles, and the industry will be able to progress more rapidly.   Amid the trend of diversifying new energy vehicles, it is no coincidence that methanol-powered vehicles have received policy support this time.   As is well known, our country is rich in coal but poor in oil and natural gas. At present, the domestic energy structure is primarily based on coal, with a high degree of dependence on imported crude oil and natural gas. At the same time, over 40% of China’s coal resources are high-sulfur coals. These low-quality, high-sulfur coals are not suitable for use directly as fuel in power generation or industry, but they can be used to produce methanol. At the same time, methanol fuel production technology is now mature; in particular, the production of methanol from low-quality coal, coalbed methane, and coke oven gas enables the maximum clean and rational utilization of coal resources.   “Methanol is more cost-effective than gasoline. At the same time, China currently has some technical expertise in engine modification and the specialized development of methanol vehicle engines, and there are no major obstacles in terms of safety. ”Ye Shengji said that the promotion of methanol vehicles already has a certain market foundation.   Since 2012, the Ministry of Industry and Information Technology has successively carried out related initiatives in 10 cities across 5 provinces and municipalities – Shanxi, Shanghai, Shaanxi, Guizhou, and Gansu – issuing announcements in 17 batches regarding 9 methanol vehicle manufacturers and their 32 different methanol vehicle models. This has led to the development of various vehicle series such as methanol-powered sedans, heavy commercial vehicles powered by both methanol and diesel, microvehicles, and urban buses, thus laying the foundation for the methanol vehicle industry.   Cui Dongshu, secretary-general of the National Passenger Vehicle Market Information Association, believes that the renewed efforts to promote the use of methanol-powered vehicles and to raise relevant standards are necessary in order to ensure energy security and create a healthy ecosystem characterized by diverse fuel options for vehicles.   Promoting the use of methanol vehicles reflects the aspirations of domestic automakers. For domestic automakers, the introduction of these Guidelines is beneficial, especially given the poor prospects for traditional gasoline vehicles and the fierce competition in the new energy vehicle sector; some automakers can enter the methanol vehicle market to enhance their competitiveness.   Li Shufu, chairman of Geely Holding Group, suggested that in regions with resource advantages and a solid industrial foundation, the production of \"coal-to-alkanol\" fuels could be developed to an appropriate extent, in order to promote the use of methanol fuel and methanol-powered vehicles. Measures should be taken to improve the regulations regarding the entry of such vehicles into the market and their operation; continuous innovation in methanol fuel and methanol vehicle technologies should be encouraged, industry oversight strengthened, and professional standards and guidelines for modifications to these vehicles established.   The Guidelines also address the development of standards for methanol-powered vehicles, proposing to strengthen the establishment of international standards for such vehicles, organize the formulation of standards related to engine specifications for methanol-powered vehicles and specialized lubricants, and continuously improve the standards for methanol fuel and refueling systems.   “Like Geely, many domestic automakers have invested a great deal of effort in methanol-powered vehicles, and they all hold a positive attitude toward such vehicles. ”Ye Shengji said that various regions should formulate development plans based on their own resource conditions, and automobile companies should also determine their strategies for developing methanol-powered vehicles in light of their available resources and technical capabilities; it is not advisable to rush into such investments without careful consideration.
Reply #22019-09-14
It’s unlikely; this demand for methanol has little impact on the market

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