Since late August, the Dalian Institute of Chemical Physics (DICP) of the Chinese Academy of Sciences has hosted a series of academic exchange activities, including the Second High-End Forum on Clean Energy, the High-End Forum on Coal/Methanol to Olefins Industry, and the Clean Energy Intellectual Property Alliance Annual Meeting. These events focused on discussing new developments in the energy and chemical industry. During these activities, Liu Zhongmin, an academician of the Chinese Academy of Engineering and Director of DICP, shared his insights on modern coal chemical industry, believing it is in a breakthrough period and will usher in a new round of technological advancement.
As the Director of the National Engineering Laboratory for Methanol to Olefins, Academician Liu Zhongmin led his team to complete the world's first industrial trial and subsequent industrialization of methanol to olefins technology. Later, he also spearheaded the development of a new generation of methanol to olefins technology, thus being a firsthand witness to the rapid development of the modern coal chemical industry. In Academician Liu Zhongmin's view, the modern coal chemical industry, which saw preliminary demonstrations during the "11th Five-Year Plan" period and expanded demonstration scale during the "12th Five-Year Plan" period, is now entering a breakthrough period. For instance, Academician Bao Xinhe's team is researching the direct synthesis of aromatics through the coupled reaction of carbon monoxide and methanol, a "holy grail" research topic in chemistry. It is anticipated that during the "13th Five-Year Plan" period, the modern coal chemical industry will embrace a new round of technological re-development.
Recently, the China Petroleum and Chemical Industry Federation released a set of data on the coal chemical industry: China's coal-to-oil annual production capacity is 9.6 million tons; coal-to-olefins annual production capacity is close to 10 million tons; coal-to-ethylene glycol annual production capacity is 6.8 million tons. Both routes for coal-to-oil, direct hydrogenation liquefaction and syngas indirect liquefaction, have achieved high-load operation. "These technologies have all been developed from scratch in our country, undergoing industrial demonstration and achieving large-scale production. It can be said that our coal chemical technology is 'leading in certain aspects with vast potential for development'," said Academician Liu Zhongmin.
"Currently, individual coal chemical products can generate hundreds of billions of yuan in output value. Coal-to-liquid fuels could reach several hundred billion yuan, coal-to-olefins one to two hundred billion yuan, coal-to-ethylene glycol one hundred billion yuan, and coal-to-ethanol two to three hundred billion yuan, easily. Cumulatively, these could amount to over a trillion yuan, indicating immense potential for the modern coal chemical industry," Academician Liu Zhongmin stated.
Academician Liu Zhongmin believes that the biggest challenge facing the coal chemical industry is clean utilization. Higher hydrogen content in raw materials means lower carbon dioxide emissions. Among fossil fuels like coal, petroleum, and natural gas, natural gas has the highest hydrogen content, while coal has the least, making clean utilization of coal the most difficult. Domestically, there is significant environmental pressure, and internationally, the Paris Agreement has been signed. How to reduce carbon dioxide emissions and maintain a balance between industrial development, emission reduction, and environmental protection needs to be considered within a broader international context.
"Of course, we cannot view coal chemicals in isolation. At a strategic level, the country has long made plans in the coal chemical sector. Modern coal chemicals must further improve efficiency, while also vigorously developing clean and renewable energy. Through two platforms, energy storage and hydrogen, we can achieve the integration of fossil fuels with renewable and clean energy sources," Academician Liu Zhongmin said. "The development of our country's coal chemical industry has always progressed amidst controversy. The technological sophistication must ultimately be economically viable and withstand market scrutiny. By developing unique solutions based on national conditions, it will ultimately meet national needs and address major challenges," Academician Liu Zhongmin stated.
Specifically regarding coal-to-liquid (CTL) technology, Academician Liu Zhongmin believes that, as a national strategic reserve technology, it has played its due role at critical junctures. However, CTL has not received support such as national policy subsidies or tax exemptions during its development. Companies currently investing in CTL face staggering capital requirements and often have to balance these expenditures with other business operations. This is detrimental to attracting social capital to drive accelerated breakthroughs and innovation in the industry. Therefore, Academician Liu Zhongmin hopes the state will provide policy guidance to encourage social capital to enter the real economy. (Translated from China Energy Net)
