Metallurgy / Chemicals / Rubber & Plastics

Recently, the National Development and Reform Commission directly named nine provinces and regions at a regular press conference: Qinghai, Ningxia, Guangxi, Guangdong, Fujian, Xinjiang, Yunnan, Shaanxi, Jiangsu, the energy consumption intensity in the first half of the year did not fall but increased instead! In addition, the reduction rate of energy intensity in 10 provinces did not meet the schedule requirements, and the national energy conservation situation is very severe.

According to the "Barometer of Completion of Dual Control Targets for Energy Consumption in Various Regions in the First Half of 2021" issued by the National Development and Reform Commission, 12 regions including Guangdong, Fujian, Yunnan, Jiangsu, Zhejiang, Anhui, and Sichuan have both reduced energy consumption and total energy consumption. The situation is grim, which means that more than half of the provinces failed to complete the “dual control” goal in the first half of the year.

For the 9 regions under its jurisdiction that have not decreased but increased their energy consumption intensity, this year suspends the energy-saving review of the “two highs” projects other than the major projects planned by the state, and urges all localities to take effective measures to ensure the completion of the annual energy consumption double control target. It is the target task of reducing the intensity of energy consumption. After the release of the document, many regions with performance warnings took substantive measures to achieve the annual target.

Yunnan: 90% reduction in production of industrial silicon and yellow phosphorus industries

Yunnan is one of my country's major resource provinces. The chemical industry has become one of the pillar industries of Yunnan's industrial economy. Among them, yellow phosphorus production capacity accounts for more than 40% of the country's total, and silicon production capacity accounts for 20% of the country's total. As of the end of 2020, there were 346 chemical industry enterprises above designated size in the province.

The “Notice on Resolutely Doing a Good Job in Dual Control of Energy Consumption” issued by the Office of the Leading Group for Energy Conservation of Yunnan Province clarifies that the average monthly output of the yellow phosphorus production line from September to December shall not exceed 10% of the output in August (ie a 90% reduction in output) ; The average monthly output of industrial silicon enterprises shall not exceed 10% of August’s output (ie a 90% reduction in output); the energy consumption of 10,000 yuan worth of added value in the four industries of fertilizer manufacturing, basic chemical raw material manufacturing, coal processing, and ferroalloy refining is higher than Enterprises with the industry average level adopt key enterprise energy use control measures. Among them, enterprises that are 1-2 times higher than the average level are limited to 50%, and those that are 2 times or more higher than the average are limited to 90%.

Yunnan Province requires that the petrochemical, chemical, coal chemical, steel, coking, building materials, non-ferrous and other industries should be established to establish a "two high" project list management system, eliminate and withdraw a batch of low-efficiency and backward production capacity, and actively guide enterprises to promote green and low-carbon production , Effectively promote industrial transformation and upgrading, and improve development quality and efficiency.

Jiangsu: The operating rate of soda ash enterprises may drop by 20%

Jiangsu, a major chemical province known as "Su Daqiang", currently has 14 chemical parks and 15 chemical concentration areas. As of the end of December 2020, there are more than 2,000 chemical companies in Jiangsu Province.

The double control of energy consumption in Jiangsu is overseeing the supervision, and a special energy-saving monitoring action for enterprises with a comprehensive energy consumption of more than 50,000 tons in 2021 has been launched. The scope of this special energy-saving monitoring includes 323 enterprises with annual comprehensive energy consumption of more than 50,000 tons of standard coal, 29 "two high" projects with comprehensive energy consumption of more than 50,000 tons of standard coal, and comprehensive energy consumption of 5,000 put into operation since 2020 The "two highs" project with stocks of more than ton of standard coal (the task list will be issued separately). Involved in petrochemical, chemical, coal chemical, coking, steel, building materials, non-ferrous metals, coal power, textile, paper, wine and other industries.

Affected by this, some soda ash companies in Jiangsu have plans to reduce production in September, and the operating rate may drop by 20%. The soda ash production capacity of the entire Jiangsu accounted for 17.4% of the total domestic production capacity, making the price of soda ash, which is expected to have a shortfall, continue to be strong. The second and third quarters are the traditional overhaul seasons for soda ash, with significant supply reductions. Coupled with irregular production and electricity restrictions, environmental protection factors have increased, and so on, the supply of products has been drastically reduced.

Inner Mongolia: No longer approve new capacity projects such as PVC, methanol, and ethylene glycol

The chemical industry is a pillar industry and a traditional advantageous industry in the Inner Mongolia Autonomous Region. It has now formed a multi-category industrial system such as coking, chlor-alkali, modern coal chemical industry, and fine chemical industry. The output of important bulk products such as methanol, polyvinyl chloride and polyolefin resin ranks in the forefront of the country. At present, there are 58 chemical industrial parks (concentration areas) in Inner Mongolia and hundreds of chemical companies. In Inner Mongolia Autonomous Region, the energy and raw material industries and high-energy-consuming and high-emission industries have a relatively large proportion, especially the coal chemical industry. The total energy consumption and energy consumption per unit of output value are at a high level.

According to the "Several Safeguard Measures for Ensuring Completion of the Energy Consumption Dual Control Targets and Tasks in the Fourteenth Five-Year Plan" issued by the Inner Mongolia Development and Reform Commission, from 2021, coke (blue charcoal), calcium carbide, polyvinyl chloride (PVC), and synthetic ammonia ( Urea), methanol, ethylene glycol, caustic soda, soda ash, ammonium phosphate, yellow phosphorus... new capacity projects such as polysilicon and monocrystalline silicon without downstream conversion. By controlling the scale and suppressing production capacity, the supply of related varieties will be gradually reduced.

Guangdong: Suspend Energy Conservation Review of "Two Highs" Project

Guangdong Province is a major paint province and a major chemical town. There are more than 2,000 local chemical companies. They are mainly famous in the national paint market for home decoration wood coatings and architectural coatings. The "Guangdong Province Energy Consumption Dual Control Work Plan for 2021" issued by the Guangdong Development and Reform Commission pointed out that focusing on the "two highs" industries such as steel, chemical, non-ferrous metals, cement, glass, etc., benchmarking international and domestic or industry advanced levels, and comprehensively carrying out energy conservation Diagnose and promote energy-saving transformation and green upgrading of production lines.

It is required that from the date of issuance of this article, for prefectures and cities where the intensity of energy consumption does not drop but rises, the energy conservation review of the "two highs" projects will be suspended in 2021 (except for major projects planned by the state). Take effective measures to quickly reverse the passive situation of work and ensure the completion of this year's energy consumption dual control target, especially the energy consumption intensity reduction target task.

Sichuan: Interview with red warning areas and put forward rectification requirements

Sichuan Province has a relatively complete chemical industry system and a relatively concentrated layout. It is an important natural gas chemical production and research and development base in the country. The production capacity of fertilizers, melamine and other products ranks first in the country. There are more than 1,000 chemical companies in Sichuan Province and more than 200 coating companies. Panzhihua City, Sichuan Province, is the most concentrated area of titanium dioxide enterprises in the country. Taihai Technology, Tianlun Chemical, Titanium Chemical, Dahutong Titanium and other enterprises are all well-known titanium dioxide enterprises in the country.

The Sichuan Provincial Leading Group for Climate Change has conducted an interview with the chief government officials of the three cities (prefectures) of Guangyuan City, Ya'an City, and Aba Prefecture that have a red warning for the completion of the energy consumption "dual control" target in the first half of this year, and put forward rectification requirements . Insist on putting the dual control of energy consumption in a prominent position, and correctly handle the relationship between economic development and energy saving. It is necessary to keep a close eye on the dual control goals, take effective measures to reverse the passive situation as soon as possible, and go all out to complete this year's energy dual control goals.

Zhejiang: Strictly control the scale of chemical production and other production capacity, and promote the relocation of high-energy-consuming processes

Zhejiang Province, a major chemical province, currently has 49 chemical parks (gathering areas) qualified parks and 3 chemical parks (gathering areas) cultivation parks. As of 2020, there are more than 5,000 chemical industry enterprises in Zhejiang Province, with hundreds of products.

Zhejiang Province issued the "Fourteenth Five-Year Plan for Energy Conservation, Consumption Reduction and Optimal Allocation of Energy Resources in Zhejiang Province", which requires strengthening the structural adjustment of key energy-using regions. Ningbo and Zhoushan must strictly control the scale of petrochemical, steel, chemical and other production capacity and promote high energy consumption processes. Move out, alleviate the high dependence on fossil energy. Shaoxing, Huzhou, Jiaxing, and Wenzhou must strictly control the production capacity of textile printing and dyeing, chemical fiber, plastic products and other manufacturing industries, adopt advanced production technologies, increase the proportion of high value-added products, and greatly increase the energy efficiency level of unit value added. Promote the withdrawal of production capacity in textile printing and dyeing, chemical fiber, papermaking, rubber and plastic products, electroplating and other industries, increase the elimination of backward production capacity and excess capacity, and complete the rectification of "scattered and polluted" enterprises.

The production capacity of a variety of chemical products is restricted, and 10,000 chemical companies have encountered production stoppages

The chemical industry is a traditional large energy consumer, and the dual control of energy consumption has a very obvious impact on its output. According to incomplete statistics from the Paint Purchasing Network, the 9 first-level warning areas where energy consumption does not decrease but increase, include Guangdong, a major chemical province, and Yunnan, a major chemical province; and the second-level warning areas include Zhejiang, a major chemical province, and Yunnan. There are 10,000 chemical companies covering Sichuan, a major town of titanium dioxide and Henan, a major town of coal chemical industry.

Among them, the soda ash production capacity in Qinghai accounted for 15.63% of the country, the PVC production capacity in Xinjiang accounted for 16.99% of the country, and the soda ash production capacity in Jiangsu accounted for 17.9% of the country. The country's 37.87%, and copper, aluminum, zinc, tin, rebar, manganese silicon, and ferromanganese production capacity account for a relatively high proportion, of which tin production capacity accounts for 59% of the country.

Whether it is the 90% production limit in Yunnan, or the production capacity restrictions of chemical companies in many regions and the relocation of high energy-consuming processes, the impact of dual energy control on the supply side of local bulk industrial products is undoubtedly "adding fuel to the fire." In addition to limited production, the Nantong region of Jiangsu reported that it received a notice to reduce electricity consumption by 15%. Electricity in Yunnan, Inner Mongolia, Guangxi and other places continued to be in emergency, and electricity curtailment would become the norm. A new batch of environmental protection teams will be superimposed, and environmental protection production restrictions will be promoted at the same time. All provinces and cities will also start production restrictions in autumn and winter. By then, environmental protection efforts will be increased, and the operating rates of major chemical towns will also be reduced. Due to the tightening of production and electricity supply restrictions, in addition to rising prices of chemical products, some products may have a tight supply.