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China edges closer to embracing green hydrogen

‘Inflection point’ for the economics of hydrogen versus coal looms in 2030

When Xi Jinping opened the Chinese Communist party’s 20th congress last October, China’s most powerful leader since Mao Zedong reaffirmed his plan to steer the world’s biggest polluter on the path to decarbonisation.“We must stick to the philosophy that ‘clear waters and lush mountains are our silver and gold’,” Xi said. “Harmonious coexistence of humans and nature should be a mission embedded in our development plans.” He was addressing the quinquennial meeting in Beijing, as he secured a third term as leader of the country of 1.4bn people.

And his comments underscored the importance of new sources of fuel in China’s economy, including hydrogen, noted rating agency S&P at the time. They also followed commitments by Xi, in 2020, for China to hit peak carbon by 2030 and carbon neutrality by 2060.

So, with the country’s energy policy now set by the very top, the question, experts say, is not whether hydrogen will have its day in the sun in China, but when?

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