How to achieve breakthrough in chemical energy-saving and emission reduction

From July 25th to 26th, over 200 representatives from leading domestic oil and chemical companies and provincial industry associations gathered in Lanzhou for the National Oil and Chemical Industry Energy Conservation and Emission Reduction Forum. The event focused on addressing key challenges and exploring breakthroughs in sustainable development within the sector. Experts at the forum highlighted the significant hurdles the petroleum and chemical industry faces in achieving energy efficiency and reducing emissions. One major challenge is the industry’s continued emphasis on basic raw material production, with a relatively small share of high-value fine chemicals. This structure leads to high energy consumption and pollution, which is difficult to change quickly. Additionally, the industry has been growing rapidly, with an average annual growth rate exceeding 20% in recent years—equivalent to rebuilding an entire petrochemical sector every few years. Such rapid expansion makes it extremely challenging to meet targets of a 20% reduction in energy use and a 10% cut in emissions. The experts identified three main areas where energy-saving and emission-reduction efforts face obstacles. First, the production of high-energy and high-pollution products is expanding too fast, making it hard to control. Investments in sectors like nitrogen fertilizers, soda ash, and caustic soda have surged by around 30% in recent years, leading to severe overcapacity. Weak regulatory enforcement and local protectionism further hinder the implementation of national policies, making it tough to reverse the trend of high-emission production. Second, the foundational work for energy conservation and emissions management remains underdeveloped. Many energy and pollutant statistics are outdated or nonexistent, creating gaps in data collection and analysis. Even official statistics often require verification by industry groups. Moreover, many companies lack dedicated energy and environmental management staff, weakening the overall capacity for effective implementation. Third, the development and adoption of energy-saving technologies are insufficient. While some companies have made progress, they often hesitate to share these innovations due to competitive concerns. At the same time, the government has not done enough to promote proven technologies across the industry, limiting their widespread application. Participants emphasized that, based on global experiences, no country has achieved such ambitious energy and emission goals during a similar phase of industrialization. The task ahead is daunting, but with growing international attention on climate change and the Chinese government's strong commitment, accelerating resource efficiency and reducing pollution has become a top priority—not just for the industry, but as a core social responsibility. The consensus among delegates included six key strategies. First, raising awareness and strengthening the industry’s sense of urgency and responsibility for energy conservation and emission reduction. Companies should embrace “responsible care” and take active steps to improve their public image. Second, controlling new capacity and optimizing the industrial structure by promoting organic raw materials, new chemicals, and fine chemicals while reducing reliance on energy-intensive products. Third, advancing the circular economy through the principles of reduce, reuse, and recycle, aiming for maximum economic output with minimal environmental impact. This includes developing and implementing circular economy plans, seeking government support, and sharing successful practices from chemical parks and key industries. Fourth, enhancing technological innovation, especially in energy-saving and alternative technologies, waste utilization, and industrial chain optimization. The focus should be on practical technologies already proven effective, such as zero-emission wastewater treatment in the nitrogen fertilizer industry and energy-efficient processes in the chlor-alkali sector. Fifth, investing in personnel training to build a skilled energy management team capable of understanding policies, managing energy use, and applying energy-saving techniques effectively. Lastly, improving basic data collection and establishing a comprehensive assessment system for energy and emission performance. This involves setting industry-specific standards, conducting regular statistical analysis, and publishing reports and benchmarks to guide continuous improvement. With these measures, the industry can move toward a more sustainable and responsible future.

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