Green development of mining under the goal of "double carbon" new answer sheet

The coal industry strives to build a new pattern of multi-industry structure

As the world's largest energy producer and consumer, China is rich in coal resources, but the independent supply capacity of oil, natural gas and other energy minerals is insufficient, and energy minerals will still occupy a dominant position in China's primary energy consumption for a long time in the future. Carbon peaking and carbon neutrality will have a significant impact on China's energy pattern, especially on the coal industry.

As the main body of energy in China, coal should be targeted to achieve carbon peak and carbon neutrality in accordance with the direction of green and low-carbon development, based on national conditions, control total volume, meet the bottom line, orderly reduction and replacement, and promote the transformation and upgrading of coal consumption. It also means a gradual reduction in coal consumption.

In the future, the development path of the coal industry depends on the correct handling of the relationship between economic and social development and clean and efficient use of energy. Some analysts believe that in the short term, coal will still be the main energy to support China's social and economic development; In the medium term, China will gradually form a diversified energy structure, and coal will be an important energy source to safeguard social and economic development. In the long run, coal will still have a place in China's resource structure, and the coal industry can still achieve high-quality development. However, it also forces the coal industry to walk out of a green and sustainable development path in terms of economic competitiveness, industrial layout, ecological environment, and scientific and technological innovation.

Since 2016, the state has proposed supply-side structural reform, and a number of industries, including coal, have become the focus of the reform. In the big situation of capacity reduction, the coal industry has also accelerated the pace of mergers and acquisitions. After the release of the Opinions on Further Promoting the Transformation and Upgrading of Coal Enterprise Merger and Reorganization on December 19, 2017, the results of coal industry merger and reorganization have been repeated, and the coal industry format and enterprise operation and management mode are also undergoing great changes.

In recent years, hundreds of mergers and reorganizations have been announced by domestic coal enterprises. In the energy industry composed of coal, electricity, oil and natural gas, and new energy, more than 600 mergers and reorganizations have occurred in the past four years, and the coal industry has accounted for 1/4, whether in terms of the number of transactions or the value of the underlying assets, the coal industry is second only to the power industry, becoming the absolute main force of mergers and reorganizations in the energy industry. At the same time, carrying out multi-industry layout and building multi-chain coordinated development has become a common choice for coal enterprises. Coal enterprises have positioned their role as a modern large-scale comprehensive energy group. For example, the National Energy Group formed by the merger and reorganization of Guodian Group and Shenhua Group has eight industrial sectors such as coal, thermal power, new energy, hydropower, transportation, chemical industry, science and technology, environmental protection, and finance. China National Coal Group has laid out the whole coal industry chain and is determined to be a clean energy supplier and comprehensive energy service provider with international competitiveness. Through investment in new construction, mergers and acquisitions, asset transfer, internal reorganization and other ways, Shaanxi Coal Group has formed two main businesses of "coal mining and coal chemical industry" and "coal-fired power generation, iron and steel smelting, machinery manufacturing, construction, railway investment, science and technology, finance, modern services" and other related diversified complementary and coordinated development of the industrial pattern. Yankuang Group takes coal, chemical industry, equipment manufacturing and financial investment as its leading industries, and has developed into the only coal enterprise in China with four domestic and overseas listing platforms. At present, most of the leading coal enterprises in China have formed a new pattern of multi-industrial structure, multi-regional distribution and multi-industrial chain integration.

With the establishment of the "double carbon" goal, accelerating the construction of a clean, low-carbon, safe and efficient modern energy system is an inherent requirement for ensuring national energy security, striving to achieve carbon peak and carbon neutrality on schedule, and is also an important support for promoting high-quality economic and social development.

On December 10, 2021, the Central Economic Work Conference proposed for the first time a shift from "double control" of energy consumption to "double control" of total carbon emissions and intensity. The meeting proposed scientific assessment, new renewable energy and raw material energy use are not included in the total energy consumption control, create conditions as soon as possible to achieve the "double control" of energy consumption to the total amount of carbon emissions and intensity "double control", accelerate the formation of an incentive and restraint mechanism for reducing pollution and carbon, to prevent simple layers of decomposition.

In March 2022, the National Development and Reform Commission and the National Energy Administration issued the "14th Five-Year Plan for Modern Energy System", proposing the main goals of modern energy system construction during the "14th Five-Year Plan" period, once again reaffirming the concept of "double control" of energy consumption to the total amount of carbon emissions and intensity "double control", and emphasizing the role of coal in supporting the realization of "double carbon" goals. We will strengthen the clean and efficient use of coal. At the same time, it is also emphasized that the goal of energy security should be put in the first place, and it is clear that ensuring security is the primary task of energy development. It is necessary to base on the basic national conditions of coal, do a good job of clean and efficient use of coal, promote the gradual increase of the proportion of new energy, and promote the optimal combination of coal and new energy. The "Plan" proposed that the "14th Five-Year Plan" period should strictly and reasonably control the growth of coal consumption. Reduce the carbon footprint of the coal industry. We will strengthen smart and green coal mining and promote clean and efficient coal production and washing. By 2025, coal mine gas utilization will reach 6 billion cubic meters, and raw coal utilization rate will reach 80%. To carry out research and development and demonstration application of coal-to-oil, coal-to-gas and advanced coal chemical technology, promote the research and industrialization of advanced coal chemical technology, give full play to the function of coal as raw material, further broaden the direction, channels and scope of coal utilization, and carry out research on modern coal chemical industry and ecological environmental protection technology.

In the future, only by deeply understanding the extreme importance of ensuring national energy security under the new situation, adhering to the actual national conditions to promote the clean and efficient use of coal, effectively giving full play to the role of coal as a backstop guarantee, deeply understanding that promoting the clean and efficient use of coal is an important way to achieve the goal of carbon peak and carbon neutrality, and coordinating the clean and efficient use of coal. Promoting green and low-carbon energy transformation in a scientific and orderly manner and providing solid energy guarantee for high-quality development is the "right way" for the green and high-quality development of the coal industry.

The non-ferrous metal industry strives to achieve carbon reduction and ensure supply in parallel

Since the 21st century, China's non-ferrous metal industry has developed vigorously, and has entered a stage of the fastest scale expansion, the best economic benefits, the most obvious technological progress, and the most significant comprehensive strength enhancement. By 2021, the output of ten kinds of non-ferrous metals in China will reach 64.54 million tons, accounting for about 50% of the global total output, and the average annual growth rate of ten kinds of non-ferrous metals in the past 10 years will reach 6.3%. Among them, the output of copper, aluminum, lead and zinc smelting products accounted for 42%, 56%, 41% and 45% of the global proportion respectively, ranking first in the world.

At the same time, driven by the "double carbon" goal, strategic emerging industries such as new generation information technology, biotechnology, new energy, new materials, high-end equipment, new energy vehicles, green environmental protection, aerospace and Marine equipment will develop rapidly, and the growth of population and welfare levels means that more non-ferrous metal raw materials will be consumed. Relevant agencies predict that by 2040, the world population will reach 9.2 billion, and global copper demand will reach 46 million tons, an increase of 84% over 2022, and aluminum demand will increase by about 30% to 80 million tons. Driven by new energy batteries, nickel-cobalt lithium consumption has exploded, and according to the International Energy Agency, the battery mineral supply chain needs to expand 10 times in 2030.

The non-ferrous metal industry is the "big" carbon emission in China and has become the key industry of carbon reduction.

According to the China Non-ferrous Metals Industry Association estimates, in 2020 China's non-ferrous metals industry carbon dioxide emissions of about 670 million tons, accounting for 4.7% of the country's total emissions, of which non-ferrous metals smelting industry carbon dioxide emissions of 588 million tons, accounting for 88.2% of the total emissions of non-ferrous metals industry; The carbon dioxide emissions of non-ferrous metal rolling industry accounted for 10.2% of the total emissions of non-ferrous metal industry. The carbon dioxide emissions of the non-ferrous metal mining industry accounted for 1.6% of the total emissions of the non-ferrous metal industry, and only accounted for 0.08% of the total emissions of the country.

In order to effectively reduce the carbon emissions of the non-ferrous metal industry, on August 1, 2022, the Ministry of Industry and Information Technology, the National Development and Reform Commission, and the Ministry of Ecological Environment jointly issued the "Implementation Plan for carbon Peak in the Industrial Field", which put forward clear major actions and key tasks for the non-ferrous metal industry: requiring control of production capacity, accelerating technological upgrading, and increasing the proportion of recycled raw materials. In November, the "Non-ferrous Metal Industry carbon peak Implementation Plan" was issued, proposing to optimize the scale of smelting capacity, prevent the disorderly expansion of smelting capacity of key varieties, and raise the industry access threshold. It is necessary to adjust and optimize the industrial structure, guide the efficient and intensive development of the industry, encourage the development of the renewable non-ferrous metal industry, and realize the cascade utilization of energy resources and industrial recycling. We will speed up the withdrawal of inefficient production capacity, strengthen energy conservation and carbon reduction technologies, and promote green and low-carbon technologies. It is necessary to promote clean energy replacement, control fossil energy consumption, encourage the consumption of renewable energy, and strive to reach 25% of electrolytic aluminum by 2025 and 30% of renewable energy by 2030. To build a green manufacturing system, the development of recycled metal industry, by 2025, recycled metal supply accounted for more than 24%. Build a green and clean production system, accelerate the digital transformation of industries, and study the inclusion of key varieties of non-ferrous metals in the national carbon emission rights trading market.

The process of achieving the "double carbon" goal is also the process of gradual transformation of global fossil energy to clean energy, and the direction of policy is bound to drive market changes.

In the past two years, the rapid development of the new energy industry and the acceleration of the global "decarbonization" process have accelerated the contradiction between the supply and demand of new energy minerals in non-ferrous metals, and also promoted the rapid structural adjustment of the related mineral products market. According to S&P data, in 2021, the number of major new energy minerals (lithium, cobalt, nickel) project mergers and acquisitions was 321, an increase of 154.76%. Among them, the number of global lithium mining mergers and acquisitions projects was 168, an increase of 290.7%; The number of global cobalt mining project mergers and acquisitions was 15, an increase of 87.5%; The number of global nickel project mergers and acquisitions was 138, an increase of 84% year-on-year.

Relevant experts predict that in the next 10 years, China's total demand for non-ferrous metals will continue to rise, copper, aluminum, lead and zinc and other bulk metal demand, although near the peak, but the total is still very large. The demand for new energy minerals such as lithium, cobalt, nickel and rare earth will increase rapidly and is expected to increase significantly by 2030. The high dependence of domestic mineral resources on foreign countries is difficult to change for a long time.

Therefore, while paying great attention to and accelerating the efforts of the non-ferrous metal industry to achieve the goal of "double carbon", it should also pay great attention to and strive to ensure the security of the non-ferrous metal supply chain, attach great importance to enhancing the ability of autonomy and control, establish "bottom line thinking", clarify the strategic bottom line of domestic production of important mineral resources, and increase the exploration and development of strategic mineral resources. We will work hard to consolidate the domestic base of large circular resources and ensure the supply of primary products.

The operation and structural adjustment of the steel industry are gradually showing a good trend

The iron and steel industry is a basic industry related to the national economy and the people's livelihood, and is an important symbol to measure the comprehensive competitiveness of the country.

The state attaches great importance to the development of the steel industry. However, industrial carbon emissions have a large correlation with steel production.

Relevant data show that the carbon emissions of China's steel industry account for about 15% of the country's total carbon emissions, and it is the largest carbon emission industry in 31 categories of manufacturing.

There are three main paths for steel carbon reduction, namely deepening the steel industrial structure, reducing crude steel production, energy conservation and emission reduction, and technology upgrading.

In January 2022, the Ministry of Industry and Information Technology issued the "Guidance on Promoting the high-quality development of the steel industry", the main objectives mentioned in the goal, and strive to 2025 electric furnace steel production accounted for more than 15% of the total crude steel production, the steel industry to use scrap steel resources of 300 million tons, more than 80% of steel capacity to complete ultra-low emission transformation, comprehensive energy consumption per ton of steel reduced by more than 2%.

In 2022, the state will focus on the "double control" of crude steel production capacity, accelerate the development of domestic iron ore projects, and promote the transformation of energy conservation and carbon reduction in key industries, and take multiple measures at the same time, and the operation and structural adjustment of the steel industry will show a good trend. In terms of "double control" of crude steel production capacity, the relevant state departments continue to implement the policy of reducing crude steel production, guide enterprises to abandon the extensive development mode of winning by quantity, and adhere to the distinction of situations, there are reserves and pressures, and focus on reducing crude steel production in key areas of air pollution prevention and control. Focus on reducing the production of crude steel with poor environmental performance, high energy consumption and relatively backward process equipment. At the same time, the construction of iron ore projects in China has been accelerated, and a number of projects such as the mining and beneficiation project of Angang Iron and Steel West Anshan Iron Mine have been started one after another, and the results have gradually shown.

Steadily promoting energy-saving and low-carbon work is the top priority of the development of the steel industry.

Since October 2021, the National Development and Reform Commission, together with relevant departments, has issued and implemented three policy documents: "Several Opinions on Strict energy Efficiency Constraints to Promote Energy Conservation and Carbon Reduction in Key Areas", "Benchmark level and benchmark level of energy efficiency in Key Areas of high Energy Consumption Industries" and "Implementation Guide for Energy Conservation and carbon Reduction Transformation and Upgrading in Key Areas of high Energy Consumption Industries". We put forward 25 benchmark levels and benchmark levels for energy efficiency in key areas, formulated guidelines for upgrading key areas such as steel, and took energy conservation and carbon reduction upgrading in steel and other areas as a key direction of support. Through medium - and long-term loans and other forms of support, we accelerated the construction of a number of projects with obvious energy conservation and carbon reduction effects and strong demonstration role. We will guide key industries such as steel to speed up their efforts to conserve energy and reduce carbon emissions.

According to the data released by the China Iron and Steel Association, as of August 25, 2022, the country has 172 million tons of steel production capacity to complete the whole process of ultra-low emission transformation and through the evaluation and testing publicity of the Steel Association, the steel production capacity of the main transformation project is nearly 400 million tons, and the cumulative investment in ultra-low emission transformation of the national steel enterprises has exceeded 150 billion yuan.

However, as of 2022, the cumulative production of crude steel is still as high as 1.013 billion tons, according to the international average standard carbon emissions of 2.15 tons/ton of crude steel to further estimate, China's steel industry carbon emissions in 2022 as high as 2.178 billion tons. Crude steel production may still need to be further reduced.

Consolidating the results of capacity reduction is an important basis for planning the high-quality development of the steel industry in the new development stage. Promoting the green and low-carbon development of steel is a key link to achieve high-quality development of the steel industry.

In January 2022, the Ministry of Industry and Information Technology issued the "Guiding Opinions on Promoting the high-quality Development of the Steel Industry", which mentioned in the main objectives that by 2025, the proportion of electric furnace steel production in the total output of crude steel will increase to more than 15%, the steel industry will use 300 million tons of scrap steel resources, and more than 80% of steel production capacity will complete ultra-low emission transformation. Overall energy consumption per ton of steel has been reduced by more than 2%.

In order to promote the green, low-carbon and high-quality development of the steel industry, the National Development and Reform Commission and other relevant departments also said that the next step is to consolidate the results of capacity reduction and resolutely prevent a rebound. It is necessary to always maintain strategic focus, resolutely put an end to illegal activities such as new production capacity, and always maintain a high-pressure situation of "zero tolerance" and "hitting on the surface" for illegal activities. It is necessary to continue to promote energy-saving and low-carbon transformation in key industries such as steel, accelerate the research and development and promotion of advanced technologies for energy conservation and carbon reduction, and effectively promote energy-saving and carbon reduction transformation and upgrading in key areas such as steel in a scientific, orderly and steady manner, so as to ensure that carbon peaks are achieved on schedule. It is necessary to focus on the development needs of the steel industry and the needs of major technical equipment and materials, focus on identifying weak links, strengthen technological progress and innovation, promote industrial technological progress, support the manufacturing industry to jump to the middle and high-end, and forge new industrial competitive advantages. At the same time, we will continue to deepen industry reform and push forward mergers and reorganizations. Under the premise of respecting the main position of enterprises and ensuring the independent decision-making of enterprises, we must break local protection, break market segmentation and regional blockade, resolutely cancel the provisions existing in some places that are not conducive to the reasonable transfer of steel production capacity and hinder cross-regional restructuring, and strive to create a market environment conducive to mergers and acquisitions.