January 05, 2022
Tariff Adjustment
On September 23, the Ministry of Ecology and Environment issued the "Carbon Monitoring and Evaluation Pilot Work Plan" to deploy the carbon monitoring and evaluation pilot work, and selected 16 cities including Tangshan to carry out the pilot monitoring of atmospheric greenhouse gases and ocean carbon sinks.
On November 1, the Ministry of Ecology and Environment issued the "Autumn and Winter Air Pollution Comprehensive Treatment Plan for 2021-2022" to tackle the challenges in the autumn and winter of 2021-2022 on the basis of the "2+26" cities in the Beijing-Tianjin-Hebei region and surrounding areas and the cities in the Fenwei Plain. The scope of implementation is increased in northern Hebei, northern Shanxi, eastern and southern Shandong, and some cities in southern Henan. In total, there are 20 cities in Shanxi, Hebei, Shandong and Henan.
On November 3, the Ministry of Ecology and Environment stated that the only normalized formulation of peak-shifting production plans is the cement industry. This is the first time for the steel industry. Whether the formulation of peak-shifting production plans for steel will be normalized in the future will depend on national policies and the specific conditions of the industry. It depends.
Limited power and production
On May 6, the Ministry of Industry and Information Technology issued a new version of the implementation measures for capacity replacement in the iron and steel industry, which will be implemented on June 1. It is strictly forbidden to increase the total steel production capacity in key areas for the prevention and control of air pollution.
On July 20, in response to air pollution in autumn and winter, Shandong will strictly prevent and control the source of the "two highs" projects. All new, reformed and expanded "two highs" projects must resolutely implement production capacity, coal, energy, carbon emissions, and pollutant emissions. Wait for five reduction substitutions, and will not approve items that do not meet the requirements.
On November 1, the Ministry of Ecology and Environment issued the "Autumn and Winter Air Pollution Comprehensive Treatment Plan for 2021-2022", in which new steel smelting capacity is strictly prohibited, environmental access is strictly enforced, and new capacity projects cannot be approved except for relocation and capacity replacement. Before the new steel project is put into operation, the production capacity used for replacement needs to be withdrawn simultaneously.
On November 30, Xia Nong, the first-level inspector of the Industry Department of the Development and Reform Commission, said that during the "14th Five-Year Plan" period, private steel companies must unswervingly prohibit new production capacity.
Carbon peak, Carbon neutral
On March 5, Li Keqiang proposed to do a solid job in carbon peaking and carbon neutrality. Formulate an action plan for peaking carbon emissions by 2030.
On March 30, the steel industry's carbon peak and a carbon reduction action plan took shape. According to relevant sources, under the constraints of the “carbon peak” in 2030 and the “carbon neutral” target in 2060, the steel industry’s carbon peak target is initially set as: to achieve carbon emissions peak by 2025; by 2030, Carbon emissions are reduced by 30% from the peak, and carbon emissions are expected to be reduced by 420 million tons.
On October 26, the State Council issued a carbon peak action plan before 2030. The plan proposes to deepen the supply-side structural reform of the steel industry, strictly implement capacity replacement, strictly prohibit new capacity, promote inventory optimization, and eliminate outdated capacity.
On November 18, at the inaugural meeting of the Global Low-Carbon Metallurgical Innovation Alliance, He Wenbo, executive chairman of the China Iron and Steel Association, stated that China’s steel industry’s carbon peaking implementation plan and the formulation of a carbon neutral technology roadmap have been basically completed, and will soon It was announced to the public and fully implemented.
