Hebei provincial government recently issued Management Methods on Coal Replacement for Projects that Consume Coal, which adopts coal equivalent or decrement replacement measures (i.e. coal consumption arising from new, reconstruction or expansion projects shall be equal to or less than the amount saved through other channels).

The document applies to Hebei’s fixed-asset investment projects that directly consume coal (i.e. with raw coal, cleaned coal, coal water slurry, coal briquette and pulverized coal as raw materials or fuel).

The coal replacement measures are different in different industries or regions. In detail, coal replacement coefficient of projects that consume coal is 1.2 in six high energy-consuming industries – coal mining and washing industry; petroleum, coal and other fuel processing industry; chemical industry; non-metallic mineral product industry; ferrous metal smelting, rolling and processing industry; electric power and heating power production and supply industry. The coefficient of modern coal chemical projects is 1.0. By regions, the coefficient is not less than 1.2 in cities of air pollution transmission channels.