Coal to Gas Policy Come to Standstill in Qingyuan

20 Aug 2015/CTW


Qingyuan, a major ceramic tile production base in Guangdong Province, has embarked on coal-to-gas project since 2011, and much effort has been put into it. Recently, the coal-to-gas project comes to standstill for various reasons.

According to the coal-to-gas policy in Qingyuan, two industrial parks in Qingyuan should complete the coal-to-gas switch before March 31th, 2015. However, as March is coming to an end, ceramic companies in the two industrial parks haven’t started to use natural gas yet.

It’s researched that natural gas pipeline laying hasn’t completed yet, and when to use natural gas has not been confirmed, either. Some ceramic companies express their concern of using natural gas. For one thing, the higher cost for using gas will put the company in a disadvantaged position in competition. The cost will double if using natural gas. Accordingly, the tile price will be forced to push up.

For another, companies doubt that whether the gas supply is sufficient. There are about 130 ceramic production lines in the two industrial parks. Assuming that each line consumes 6 million m³ annually, only the ceramics industry will use more than 780 million m³ each year in Qingyuan. However, it was reported that the gas supplier- Qingyuan PetroChina Kunlun Gas Company was planned to provide only 300 million m³ per year, even the maximum supply was 400 million m³ each year.

Currently, Qingyuan government hasn’t confirmed the date or deadline to use natural gas. Instead, it only made some flexible policies. According to Qingyuan Air Pollution Control Plan, all the ceramic companies in Qingyuan should strive to finish the task of changing coal to gas at the end of 2015.

Editor  Jane

This is the 127th issue.



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