China Gas Carbon Neutrality Action Plan 2022

Our Carbon Neutrality Philosophy

What we are heading towards is a future where opportu­nities and challenges coexist. The frequent occurrence of extreme weather reminds us that all humans face the grave challenge of climate change, which is projected to have far-reaching impacts on our habitat and the current social and economic order. Chinese President Xi Jinping specifically outlined the targets to "peak carbon dioxide emissions before 2030 and achieve carbon neutrality be­fore 2060" in 2020, demonstrating China's position as a great power in tackling climate change. Energy mix trans­formation and low-carbon development are critical steps in the carbon neutrality process. As a cross-regional inte­grated energy and service supplier, China Gas is conscious of its social responsibilities and well aware of its obliga­tion to promote the low-carbon transformation of society, and determines to harness its technological and resource advantages to contribute to the national carbon neutrality goal, as well as the global climate change action.

We lead by example and are committed to reducing the GHG emission intensity by 50% from the level of 2021, peaking carbon dioxide emissions by 2030 and achieving carbon neutrality in operations by 2050.

We realize that only by acting concretely as a role model can we encourage more people to follow our cause. Thus we have set up a work leading group for "Dual Carbon Goals", which comprises well-trained professionals to systematically manage our carbon emissions. In the past six months, we have thoroughly examined our carbon emissions following international and domestic authoritative standards and formulated quantifiable and practical carbon reduction targets and strategies based on technical feasibility and economic analysis. We are committed to peaking carbon dioxide emissions no later than 2030 and becoming carbon neutral in operations no later than 2050.

This is a long-term task that requires unswerving, well-planned and orderly progression. Based on our business operations, we have identified priorities – green energy, energy-saving innovation, low-carbon logistics, smart operation, methane emission control, etc. All carbon reduction initiatives are put in place by location and stage to minimize the carbon emissions generated by our operations as far as possible. For unavoidable carbon emissions, increased efforts will be made to promote carbon capture and utilization technology research, and explore the launch of CCUS demonstration projects to eliminate carbon emissions in some processes of operation. Meanwhile, we will focus on carbon sinks such as renewable energy, forests and biomasses, as well as the independent development of CCER (Chinese Certified Emission Reduction) projects to achieve carbon neutralityas soon as possible.

We care about the whole society and are devoted to energy conservation and carbon reduction and green development across the industry chain.

While pursuing carbon neutrality at the operational level, we also work with our partners both upstream and downstream to move towards a low-carbon, sustainable, and more resilient future, creating a low-carbon ecosystem that is well connected vertically and horizontally.

For clients, we provide cleaner energy and encourage them to live a low-carbon life. Over the past few years, we have been engaged in coal-to-gas transition, urban boiler retrofitting, smart MicroGrid construction, as well as the application, promotion, and popularization of natural gas. From 2017 to March 2022, we helped the country reduce CO2 emissions by 300 million tonnes – equivalent to planting 16.39 billion trees a year. In the meantime, we are exploring the addition of hydrogen to natural gas pipelines to deliver cleaner energy.

For the industry, we offer diverse low-carbon solutions to boost low-carbon industrial development. Powered by digital technologies such as big data, cloud computing, and blockchain, we build a digital dual-carbon-goals platform, run the intelligent zero-carbon industrial ecosystem, and invest in business segments with long-term value, driving customers' green and low-carbon transformation. At the same time, we are actively exploring a wider range of renewable energy application scenarios, developing and investing in green buildings, green transportation, smart MicroGrids, energy efficiency management of parks and buildings, the integration of power generation, distribution, load management, and storage, green financial products, etc., to help relevant cities and industries take peak carbon emissions ahead of their peers and position ourselves as a forerunner, pioneer, and innovator in integrated energy.

Plants with strong roots grow well, and efforts with the right focus will assure success. Carbon neutrality is an inevitable requirement as well as a significant opportunity in the new era. China Gas hopes to realize its vision of developing close ties with all partners under the blue sky, sharing the same destiny with the planet, and growing in line with common social needs, embracing a green, clean, and fertile future.