China’s NDRC and Japan’s Ministry of Economy, Trade and Industry (METI) will collaborate on producing synthetic methane, a renewable alternative to natural gas, from recycled hydrogen and carbon dioxide (CO2), as reported by Nikkei Asia on December 26. The facility will be built in China’s Shaanxi province and will commence operation by 2025. Hitachi Zosen [7004:JP], a Japanese engineering firm, will construct the facilities that generate synthetic methane, while China’s Yulin Chemical will supply the hydrogen and CO2 required for production.

This synthetic methane production collaboration is part of a bilateral initiative reached by China and Japan at a forum on energy conservation and the environment. The new factory will initially produce 500 cubic meters of synthetic methane per hour, with the capacity increasing to 5,000 cubic meters in the future. Hitachi Zosen hopes to commercialize its methane-producing catalytic technology by 2030, amid China’s plan to achieve net-zero greenhouse gas emissions by 2060. METI has set a target of replacing more than 1% of domestic natural gas for residential usage with synthetic methane by 2030, eventually scaling up commercialization to replace 90% of total residential usage by 2050. According to the Japan Gas Association, a 1% substitution would reduce CO2 emissions by 800,000 tons, while a 90% substitution would cut CO2 emissions by 80m tons, equivalent to 0.07% and 7% of Japan’s total emissions, respectively.

Sources:

https://asia.nikkei.com/Business/Energy/Japan-and-China-partner-on-clean-alternative-for-natural-gas

http://www.cankaoxiaoxi.com/science/20210606/2445332.shtml