75 years on Inner Mongolia leapfrog development

75 years of Inner Mongolia energy sector transformation

2024-09-12 (goinnermongolia.com.cn)

North China's Inner Mongolia autonomous region, a crucial national energy base, has seen transformative growth over the past 75 years.

The region now contributes approximately one sixth of the country's total energy production and one third of the national inter-regional energy transfer. Its coal, electricity, new energy, and equipment industries have all flourished.

Historically, Inner Mongolia's economy heavily relied on its abundant coal resources, a period marked by significant economic achievements. However, this "coal-centric" model also revealed drawbacks such as a singular industrial structure, unsustainable development practices, and limited future growth potential.

Inner Mongolia has shifted from merely "mining and selling coal" to eliminating outdated capacities and promoting resource conversion and circular development to address these challenges.

This strategic pivot has fostered a high-end, high-quality, innovative industrial chain that extends downstream from coal.

By 2023, non-coal industries in Inner Mongolia saw a rapid growth rate of 12.1 percent. The modern coal chemical industry experienced a 15.4 percent increase in added value, with the region constructing the world's largest green hydrogen-integrated coal-to-olefins project. Inner Mongolia now ranks second nationwide in coal-to-ethylene glycol and coal-to-olefins production capacity.

Moreover, Inner Mongolia has pioneered the establishment of a new energy-dominant supply system and a novel power system led by new energy sources. The region aims for its installed new energy capacity to surpass thermal power by 2025 and for new energy generation to exceed thermal power generation by 2030.

As of the end of May, Inner Mongolia's installed new energy capacity reached 101.58 million kilowatts, accounting for 45 percent of the region's total power capacity — a 7.3 percent increase from last year.

The region has now developed a comprehensive industrial chain for wind, solar, hydrogen, and energy storage equipment, with 5 million kW for wind power, 30.5 million kW for photovoltaic modules, 450 hydrogen equipment units, and 2 million kilowatt-hours for energy storage equipment.