China has established a production capacity for various green fuels of around 8 million tons per year in oil equivalent terms

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On April 7, Bian Guangqi, Deputy Director of the Department of Energy Conservation and Scientific, Technological & Equipment at the National Energy Administration, stated at a regular press conference that the development of green fuels is of great significance for ensuring China’s energy security, achieving the “dual carbon” goals, and establishing a new energy system. Currently, the situation in the Middle East is volatile, and the international oil and gas markets are experiencing significant fluctuations, which makes it even more urgent to develop green fuels. According to Bian Guangqi, China has established a total production capacity for various green fuels of around 8 million tons per year in oil equivalent terms, and the related industries have begun to take shape. With the rapid development of China’s new energy industry, the cost of producing green hydrogen via wind and solar power is gradually decreasing. China’s green fuels have also evolved from traditional fuels such as fuel ethanol and biodiesel to green ammonia, green methanol, and sustainable aviation fuel. Among them, the production capacities for green ammonia, green methanol, and sustainable aviation fuel are approximately 700,000 tons per year, 380,000 tons per year, and 1.7 million tons per year, respectively. Bian Guangqi emphasized that currently, the green fuel industry is still in its early stages of development. Its production capacity remains limited, and production costs are relatively high. There is a need for innovation and efficiency improvements in related technologies and equipment. Additionally, application scenarios as well as domestic and international markets still require further cultivation and expansion. Bian Guangqi said that in the next step, the **Energy Administration will organize pilot projects related to green fuels, work to overcome bottlenecks in key technologies and equipment, accelerate the establishment of green fuel standards and certification systems suited to China’s national conditions, gradually develop the green fuel market, and take measures tailored to local circumstances in order to promote the healthy and orderly development of the green fuel industry.