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A policy study examining the use of imported LNG for gas-fired power generation on the southeast coast of China

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  • Li, Yajun
  • Bai, Fangfang

Abstract

Since China's energy demand is growing quickly, speeding up the development of natural gas is an important substitute and supplement for coal and oil. The development of the natural gas market in many developing countries has demonstrated that the success of the whole project hinges upon the success of gas-fired power generation. However, under the current energy pricing system in China, the advantages of gas-fired power plants, such as low investment costs and high efficiency, have not been able to offset the low price of coal. The gas-fired power plants, both at downstream of the Liquefied Natural Gas (LNG) industry and upstream of the power sector, are faced with a dilemma. In order to solve the problems facing gas-fired power projects while providing policy guidance for the future development of gas-fired power projects, the policy of gas-fired power generation using imported LNG on the southeastern coast of China was examined. This study aims to identify the position of the national energy strategy that China should import some LNG from the other countries, to guide the development of energy policy in this region, and to formulate some clear policy measures.

Suggested Citation

  • Li, Yajun & Bai, Fangfang, 2010. "A policy study examining the use of imported LNG for gas-fired power generation on the southeast coast of China," Energy Policy, Elsevier, vol. 38(2), pages 896-901, February.
  • Handle: RePEc:eee:enepol:v:38:y:2010:i:2:p:896-901
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    References listed on IDEAS

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    1. Alberto Rechelo Neto, Carlos & Sauer, Ildo Luis, 2006. "LNG as a strategy to establish developing countries' gas markets: The Brazilian case," Energy Policy, Elsevier, vol. 34(18), pages 4103-4114, December.
    2. Lam, Pun-Lee, 2000. "The growth of Japan's LNG industry: Lessons for China and Hong Kong," Energy Policy, Elsevier, vol. 28(5), pages 327-333, May.
    3. Ruester, Sophia & Neumann, Anne, 2008. "The prospects for liquefied natural gas development in the US," Energy Policy, Elsevier, vol. 36(8), pages 3150-3158, August.
    4. Namikawa, Ryoichi, 2003. "Take-or-Pay under Japanese energy policy," Energy Policy, Elsevier, vol. 31(13), pages 1327-1337, October.
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    Citations

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    Cited by:

    1. Majidpour, Mehdi, 2012. "Heavy duty gas turbines in Iran, India and China: Do national energy policies drive the industries?," Energy Policy, Elsevier, vol. 41(C), pages 723-732.
    2. Li, Yajun & Xia, Yan, 2013. "DES/CCHP: The best utilization mode of natural gas for China’s low carbon economy," Energy Policy, Elsevier, vol. 53(C), pages 477-483.
    3. Hu, Junfeng & Kwok, Gabe & Xuan, Wang & Williams, James H. & Kahrl, Fredrich, 2013. "Using natural gas generation to improve power system efficiency in China," Energy Policy, Elsevier, vol. 60(C), pages 116-121.
    4. Yingjian, Li & Abakr, Yousif A. & Qi, Qiu & Xinkui, You & Jiping, Zhou, 2016. "Energy efficiency assessment of fixed asset investment projects – A case study of a Shenzhen combined-cycle power plant," Renewable and Sustainable Energy Reviews, Elsevier, vol. 59(C), pages 1195-1208.

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