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2022-2027 China's pipeline transportation market competition pattern and future investment prospects forecast report


2021-11-26


China is the world's largest energy consumer. Naturally, energy is extremely important to ensure the stable growth of China's economy.

In 2017, China surpassed the United States to become the world's most oil-consuming country, exceeding 8 million barrels per day. According to CNPC's forecast, China will reach its peak oil consumption in 2026, reaching 16 million barrels per day.

Nevertheless, in the long run, China's oil consumption will gradually decrease like coal. China has set a goal to achieve carbon neutrality by 2060 and peak emissions in 2030. This means that China should abandon fossil energy, transition to clean energy, and gradually increase the proportion of renewable energy. In terms of the output of solar panels and wind power generators, China ranks among the top in the world.

At the same time, practice shows that with the current level of technological development, there is no foresight to rely entirely on "green energy". Europe’s path to renewable energy has encountered energy shortages this year and high electricity prices. The energy crisis in Europe is largely due to insufficient wind power this summer. China understands that it is unrealistic to switch to renewable energy in an instant.

In view of this, natural gas should become an intermediate link in the energy transition. This kind of energy is more ecological than oil and coal. According to PetroChina's forecast, China's natural gas consumption peak will be around 2040. By then, natural gas demand will be approximately 620 billion cubic meters. The difference between natural gas and other fossil energy sources is that it is easy to transport.

Xu Qinhua, deputy dean of the National Institute of Development and Strategy Research at Renmin University of China and director of the International Energy and Environmental Strategy Research Center, believes that because of this, he will pin his hopes on natural gas power generation.

He said: "At present, there are many ways to use natural gas, which can produce heat and cold energy during the combustion process. In addition, natural gas can be transported in various ways, including road pipeline transportation and shipping, which is very convenient. Due to the inefficiency and pollution caused by traditional coal-fired energy, natural gas distributed energy is close to users, with high energy efficiency and low pollution. Therefore, in the process of transition to green and clean energy, we will undoubtedly increase investment in natural gas , Both at the production and consumption levels."