Climate Mitigation and Adaptation in China: Policy, Technology and Market

Description

Climate change is a huge challenge to humanity in the 21th century. In view of China’s recent pledge to the international community to peak carbon emissions before 2030 and achieve carbon neutrality by 2060, this book examines climate mitigation and adaptation efforts in China through the prism of the steel sector, and it does so from three interrelated perspectives, i.e., policy, technology, and market. The book argues that in developing the country’s strategy towards green growth, over the years there has been a positive and interactive relationship between China’s international commitments and domestic agenda setting in mitigation and adaptation to the impact of climate change. To illustrate China’s efforts, two special areas, i.e., carbon capture, utilization and storage (CCUS) and emissions-trading system (ETS), have received focused examination. Along the spectrum of low-carbon, zero-carbon, and negative-carbon strategies, this study ends with a simulation model which outlines different policy scenarios, challenges, and uncertainties, as China moves further on, trying to achieve carbon neutrality in 2060. The book will be of interest to scholars, policy-makers, and business executives who want to understand China’s growing role in the world. Preface Part I Policy Part II Technology Part III Market Part IV Projection Acknowledgements Contents About the Editors Abbreviations List of Figures List of Tables Part I Policy 1 Mitigation & Adaptation—China’s Evolving Policy Framework 1 Section 1 1.1 Chinese Industrial Sectors 1.2 The Steel Sector 1.3 Energy Consumption and CO2 Emissions 2 Section 2 2.1 Climate Policy in China: An Evolving Framework 2.2 A Nexus of Legislation, Regulation, and Policy 2.3 Low-Carbon Policy for Industry 2.4 Low-Carbon Policy for the Steel Sector 3 Section 3 3.1 Climate Policy Regarding CCUS: A Global Perspective 3.2 A Global Fieldtrip 4 Section 4 4.1 Reality Check on CCUS in China 4.2 Challenges Ahead References 2 Drawing Strategic Roadmap of Decarbonization for the Steel Sector 1 Overview of China’s Steel Sector 1.1 Steel Production 1.2 Steel Consumption 1.3 Energy Use 1.4 Carbon Emissions 2 Review of Low Carbon Policy 2.1 Low-Carbon Policy for the Steel Sector 2.2 Policy Effects 2.3 Policies Regarding CCUS 3 Simulation of Deployment of CCUS Technology 3.1 SACC with CCUS 3.2 Simulation: 3 Scenarios 3.3 Simulation Results 3.4 CO2 Reduction Potential of CCUS in China 3.5 CO2 Reduction Potential of CCUS in the Steel Sector 4 Strategic Roadmap for CCUS in the Steel Sector References Part II Technology 3 Carbon Capture, Utilization & Storage: A General Overview 1 Review of Typical Iron and Steel Plant Layout 1.1 The Preparation of the Raw Material 1.2 Ironmaking 1.3 Steelmaking 1.4 Steel Rolling 2 Review of Most Appropriate Carbon Capture and Utilization Technology 2.1 Carbon Capture Technology 3 Carbon Utilization Technology 3.1 CO2 Used for Enhanced Oil Recovery 3.2 CO2 Used in Iron Making Process 3.3 CO2 Used in Steel Making Process 3.4 CO2 Used in Continuous Casting Process 3.5 CO2 Used in Ferroalloy Production 3.6 CO2 Used in Other Areas in Steel Process 3.7 CO2 Used in Microalgae Cultivation 3.8 Econic Catalyst Technology for Utilization of Carbon Dioxide as a Feedstock for the Polyurethane Industry 3.9 Carbon Utilization Recommendation 4 Review of Appropriate CO2 Transport and Storage Options 4.1 Options for CO2 Transport 4.2 Trapping Mechanisms of Geological Storage of CO2 4.3 Options for CO2 Storage 4.4 Case Studies References 4 CCUS: What is It? How Does It Cost? Techno-Economic Analysis 1 Section 1 1.1 Main CO2 Emission Sources from Iron/steel Industry 1.2 CO2 Emission from Lime Kiln 1.3 CO2 Emission from Coke Oven 1.4 CO2 Emission from Blast Furnace 1.5 CO2 Emission from Converter 1.6 CO2 Emission from Hot Blast Furnace 1.7 CO2 Emission from Power Generation Unit 1.8 Summary of main CO2 sources in iron/steel industry 2 Section 2 2.1 Carbon Capture Technologies for Steel/iron Industry 2.2 Absorption Capture Technology 2.3 Adsorption Capture Technology 2.4 Membrane Capture Technology 2.5 Cryogenic Distillation Capture Technology 2.6 Summary 3 Section 3 3.1 Techno-Economic Analysis of CO2 Capture from Different Sources 3.2 Techno-Economic Analysis of CO2 Capture from Blast Furnace Gas 3.3 Techno-Economic Analysis of CO2 Capture from Lime Kiln Flue Gas 3.4 Techno-Economic Analysis of CO2 Capture from for Hot Blast Furnace Flue Gas 3.5 Techno-Economic Analysis of CO2 Capture for Linz-Donawitz Gas 3.6 Discussions 4 Section 4 4.1 Concluding Remarks 4.2 A Caveat References Part III Market 5 Building Carbon Market in China: Take Stock and Look Ahead 1 Section 1 1.1 “Cap & Trade”: Theory and Practice of ETS 1.2 Policy Framework for Regional ETS Pilots in China 2 Section 2 2.1 Institutional Designs of ETS Pilots 2.2 ETS Pilots in Operation 3 Section 3 3.1 Assessing CO2 Emission Reduction by ETS Pilots 3.2 Method of Synthetic Control 3.3 Test Results 3.4 Robustness Test 4 Section 4 4.1 Main Takeaways 4.2 Policy Recommendations Appendix References 6 Design Options of ETS: How to Incentivize CCUS 1 Section 1 1.1 Key Design Elements of ETS in International Perspective 2 Section 2 2.1 Current Designs and Operations of ETS Pilots in China 3 Section 3 3.1 Options for China’s ETS to Incentivize Steel Sector CCS 3.2 Regarding CO2 Stored via CCS as “Not or Low Emitted” 3.3 Allowing Offsets from Steel CCUS Projects in China’s ETS 3.4 Auctioning ETS Allowances for Iron/Steel Plants with CCUS 4 Section 4 4.1 Think Ahead 4.2 Concluding Remarks Appendix 1 References Part IV Projection 7 Achieving Carbon Neutrality by 2060: What (More) Has to Be Done? 1 Section 1 1.1 Climate Change Mitigation and Adaption in Global Perspective 2 Section 2 2.1 A Conceptual Framework: PPA + MBA + CCS + NBS 3 Section 3 3.1 Model Construction and Scenarios Planning 3.2 Set-Up of Model Parameters 3.3 Single PPA Scenarios 3.4 Composite PPA Scenarios 4 Section 4 4.1 Projection Results Under Different Scenarios 4.2 Impact on Energy Structure 4.3 Impact on Economy 4.4 Concluding Remarks References Index