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Achieving the low-carbon utilization of high-carbon energy – Part 4 of a series of reports on high-quality projects in Shaanxi that drive the high-quality development of the industry. Author/Source: Sinochem New Network. Date: April 29, 2022. Clicks: 2. On April 11, the Ministry of Ecology and Environment released information regarding the public consultation on the environmental impact assessment for the second phase of the coal deep-processing project carried out by China Coal Shaanxi Yulin Energy Chemical Co., Ltd. As a pilot project for environmental impact assessment of carbon emissions, the demonstration projects for energy-saving and carbon-reduction technologies within it have attracted considerable attention. Shaanxi is the only province in China to take coal chemical industry construction projects as pilot cases for environmental impact assessment of carbon emissions, and it officially launched efforts in this regard in September 2021. The three pilot projects identified include the Phase II project of China Coal Yulin. It is understood that the company has planned projects for 3.6 million tons per year of methanol and 1.2 million tons per year of olefins. The first phase of these projects was completed and put into operation in July 2014. The second phase (2000,000 tons per year of methanol produced from coal, and 750,000 tons per year of olefins produced from methanol) includes two demonstration projects aimed at reducing energy consumption and carbon emissions: one involving the conversion of steam-driven systems to electric-driven systems in air separation units, and the other involving the use of pressurized gasification processes with semi-waste boilers. These projects are designed to further improve energy efficiency. In recent years, China Coal Yulin Energy & Chemical Company has focused on both energy-saving technological upgrades and effective management, achieving significant results in reducing energy consumption and carbon emissions, thus setting a benchmark for the coal-to-olefins industry. According to interviews with journalists, the company has prepared a \"Carbon Neutrality Plan Research Report\" specifically for the second-phase project; it is expected that the carbon emissions per ton of polyolefin will be reduced by 35.7% compared to the first-phase project, and by 30.68% compared to the industry average. The company has also prepared the first \"Carbon Balance Report\" in the industry, established a system for measuring the carbon footprint of products throughout their life cycle, and launched projects for the comprehensive utilization of carbon dioxide. The 500,000 tons per year liquefied carbon dioxide facility, developed in partnership with Yulin City Investment Baisheng Chemical Technology Co., Ltd., is set to begin construction soon, thereby enabling carbon reduction at the source, during production, and at the end of the product’s life cycle. Among the 3 pilot projects for environmental impact assessment of carbon emissions is also the demonstration project for the production of new chemical materials through the differentiated utilization of coal, which is under construction by Shaanxi Coal Group Yulin Chemical Co., Ltd. The first phase of this project, which includes a 1.8 million tons per year plant for producing ethylene glycol from semi-coke (coal), a 1.2 million tons per year plant for medium- and low-temperature coal pyrolysis, and a 500,000 tons per year plant for coal tar hydrogenation, will be brought online gradually this year. At the same time, Shaanxi Coal Yulin Chemical has also taken proactive steps to implement carbon dioxide emission reduction projects on a scale of tens of millions of tons, in order to minimize carbon emissions. Among them, the 4 million tons per year carbon capture and storage (CCS) demonstration project was listed as a key provincial project in Shaanxi Province for 2022. “The 4 million tons per year CCS demonstration project serves as a preliminary phase for carbon capture, utilization, and storage (CCUS) projects on a ten-million-ton scale, and it will become a leading demonstration project for reducing carbon dioxide emissions in the northwest region. ”Xie Wuqiang, deputy general manager of Yulin Chemical Company and manager of the Strategic Marketing Department, told reporters that the CCS demonstration project covers an area of 960 mu; it captures the carbon dioxide generated by chemical production facilities, compresses it to a supercritical state, and then transports it through pipelines to store it in salt wells at a depth of over 3,000 meters. At present, the feasibility study for this project has been completed, and scheme design as well as on-site testing are underway. In addition, Yulin Chemical focuses on the development and demonstration of energy-saving and emission-reduction technologies. It will also build 3 GW of new energy power generation facilities as well as 30,000 standard cubic meters per hour of new energy hydrogen production units, in order to reduce carbon emissions generated by boilers and semi-coke gasification. The company will introduce carbon-sequestering production processes such as those for diphenylmethane diisocyanate (MDI) and ethylene carbonate (EC) using the urea method, so as to make use of carbon dioxide as a resource. Shaanxi’s energy consumption structure is dominated by coal, and under the backdrop of the \"dual carbon\" and \"dual control\" goals, it faces significant challenges in achieving energy consumption control and carbon emission reduction targets. Not long ago, the Shaanxi Provincial Development and Reform Commission issued the \"Interim Catalogue of High-Energy and High-Pollution Projects in Shaanxi Province (2022 Edition)\") in order to curb the uncontrolled development of such projects. According to interviews with journalists, due to difficulties in meeting energy consumption requirements or slow progress in completing the relevant evaluation procedures, some key projects have still not been able to resume operations, and the newly built facilities cannot start trial production. In addition to the key projects under construction, some enterprises in Shaanxi plan to build large-scale projects such as refineries with a capacity of tens of millions of tons and coal-to-oil facilities during the 14th Five-Year Plan period. Faced with the conflict between economic development and strict controls on energy consumption, industry experts believe that accelerating the clean and efficient use of coal, increasing the degree of sustainability in projects, and achieving a low-carbon development path for high-carbon resources is the best solution.