On September 5, 2018, the State Council issued the “Several Opinions on Promoting the Coordinated and Stable Development of Natural Gas”, which proposed a series of guidance on the incompleteness of China’s natural gas production, supply and distribution system, and inadequate industrial development imbalance, and increased production from the upstream for the first time. Comprehensive deployments were made in various aspects such as increased supply, mid-stream infrastructure support, downstream market construction, and improvement of emergency support system. Zhongcai.com made a specific comment on it:
I. Accelerating the development and utilization of natural gas is an important path to build a modern energy system. However, the gap between domestic supply and demand is widening year by year, and the dependence on natural gas is as high as 42%. “Stable development” urgently needs to develop this rustic source!
The Opinions fully affirm that natural gas is an important path for China to build a clean and low-carbon energy system. Accelerating the development and utilization of natural gas plays an important role in our energy production and consumption revolution. In 2017, the “coal to gas” policy further increased the utilization of natural gas. The annual supply and demand of natural gas has a gap of more than 90 billion square meters. The current dependence on foreign countries is as high as 42%. During the heating season in 2017, the shortage of external gas sources led to the North China gas. Wasteland, “stable development” urgently needs to develop this rustic source!
Second, the unconventional gas subsidy policy is expected to continue to the “fourteenth five-year”, which is conducive to upstream unconventional natural gas exploitation.
China’s unconventional gas source is very rich, with the Ministry of Land and Resources measuring 190 trillion square meters, including 12 trillion yuan of tight gas resources, 100 trillion square meters of shale gas resources, and 38 trillion cubic meters of coalbed methane resources. In order to encourage the development of coalbed methane, during the “Thirteenth Five-Year Plan” period, the state increased the central subsidy standard for coalbed methane exploitation from 0.2 yuan/square during the “Twelfth Five-Year Plan” period to 0.3 yuan/square, and local governments also introduced corresponding subsidy policies. . The “Opinions” proposed that “the study will extend the central government’s subsidy policy for unconventional natural gas to the “fourteenth five-year” period.” The continuation of the subsidy policy will greatly stimulate the exploration and development of unconventional natural gas in China.
Third, increase the construction of natural gas exploration and development systems, and promote the opening of natural gas pipeline networks to third-party market entities.
The “Opinions” proposes to increase the construction of natural gas exploration and development systems, which will help to further stimulate the exploration and development of enterprises and accelerate the development of natural gas. The “Opinions” proposes to accelerate the construction of natural gas infrastructure, focus on major pipeline interconnection projects, and promote the fair opening of natural gas pipeline network infrastructure to third-party market entities, which will facilitate the interconnection of China’s natural gas infrastructure.
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Post time: Sep-13-2018