Should China continue developing the coal-based synthetic natural gas?

ABSTRACT

During the multiple-energy-source era, China must realize the clean and efficient use of coal. This article compares coal-based synthetic natural gas (SNG) technology and competitive alternatives for clean, efficient coal use with regard to energy efficiency, CO₂ emissions, water consumption, unit investment, and cost. It was found that coal-based SNG-and-power cogeneration without carbon capture (CC) is the most feasible for China at present. This study also analyzes the differences in the challenges faced by coal-based SNG plants between China and the US. Unlike the Great Plains Synfuels Plant in the US, coal-based SNG plants in China will remain strategically significant for decades because of high domestic demand and enduring natural gas prices. The findings in this paper indicate that projects as operational coal-based SNG-only plants in China cannot be implemented, but the coal-based SNG industry should continue developing. Coal-based SNG-and-power cogeneration technology can be a strategic choice for China.

KEYWORDS:

• China
• coal
• cogeneration
• comparison
• synthetic natural gas (SNG)

Acknowledgments

The authors thank the anonymous reviewers and editor for their helpful suggestions.

Funding

This research was supported with a collaborative Grant from Geological Mineral Investigation Appraisal Program of the People’s Republic of China (DD20160084, DD20160189).

Additional information

Funding

This research was supported with a collaborative Grant from Geological Mineral Investigation Appraisal Program of the People’s Republic of China (DD20160084, DD20160189).