Project Scope and Relationship to China's Agenda 21

This project seeks to promote clean coal technology and to control atmospheric pollution and acid rain. The project is based on programme areas 12C and 18A of China's Agenda 21.

1. Background

Environmental problems such as acid rain and the depletion of the ozone layer have become a focus of world attention. Over the past ten years, Chinese industry has developed at an annual rate of more than 10 percent, thus industrial emissions have become a major source of air pollution, with severe impacts on the environment and human health.

China is the world's largest consumer of coal, with approximately 400,000 coal-fired industrial facilities nationwide which produce 19.0 million tons of ash and 16.8 million tons of sulphur dioxide. Sulphur dioxide emissions have caused serious acid rain problems in some areas of China, and has resulted in economic losses of tens of billions of yuan every year.

Most dust-removal equipment at coal-fired facilities presently lacks fuel gas emission controls. The Chinese authorities maintain that from 1994 onward, fuel sulphur dioxide discharges will be charged and total emissions will be controlled. At present, however, the equipment necessary to bring emissions in line with government standards is lacking. It is therefore essential to import foreign pollution control technology.

There are currently two types of desulphurization equipment on the international market: wet scrubbers and dry scrubbers. As the wet scrubber technology is costly to install and operate and causes secondary pollution, it is unsuitable for broad applications. By contrast, the dry scrubber system is one third to one half the cost of wet scrubbers and is 15 percent more efficient. It is at present put in use in countries such as America, Japan, and Germany, and has drawn the attention of the environmental community. The dry scrubber system is capable of removing sulphur, nitrogen and dust. The key technology of the dry scrubber is the charged sorbent injection device which can be used to improve dust-removal and desulphurization efficiency so that national environmental standards can be met.

The dry scrubber was introduced to China in May 1993 by the China National Environmental Protection Corporation, which is under the Ministry of Machinery Industry. Several technical seminars were held in the Power Industry, Construction Material Industry and Metallurgical Industry to introduce its capabilities. The scrubber is well suited to Chinese conditions and has both environmental and economic advantages. The Capital Iron and Steel Corporation, and Dezhou Thermal Power Plant have both ordered this equipment and will put it into use in the second half of 1994.

As the dry scrubber is a new addition on the environmental market, there are few existing examples of its application in large projects. Therefore it is necessary to implement a demonstration project for training of local technicians and facilitating large scale manufacturing capacity. Since local resources are insufficient, foreign investment will play an important role in the implementation of the project.

2. Objectives

• Long-term objectives
  • To meet the objectives of China's "Air Pollution Control Law" and corresponding international agreements as well as gradually reduce economic losses caused by acid rain. To achieve this end dry scrubber systems which are suitable for the Chinese market will be imported, existing air pollution control equipment will be upgraded using advanced techniques, and local manufacturing capacity will be developed. This will promote sustainable economic development.

• Immediate objectives
  • Implement dry scrubber demonstration projects in a large power plant and in a steel plant to control dust and sulphur emissions from these facilities. The demonstration projects will supply data and technical information for wider application of dry scrubbers in China. Replacing traditional dust-removal and de-sulphurization equipment with dry scrubbers will reduce the cost of installing traditional emission control equipment by approximately US $20 million.

  • Upgrade existing dust-removal equipment. In order to meet environmental standards and improve dust-removal and de-sulphurization efficiency, parts of the dry scrubber will be used in conjunction with ten existing dust-removal devices. This will save more than US $50 million in replacement costs.

  • Set up manufacturing enterprises. It is proposed that dry scrubber technology will be imported into China and produced in a manufacturing plant and application centre to be established under this project. Approximately thirty technicians and administrative personnel need to be trained during the early phases of the project. The personnel will be responsible for dry scrubber manufacturing, installation, operation, marketing, and after-sales service.

3. Activities

• 3.1 To replace the present wet scrubber dust-removal system with dry scrubbers on the boiler of the 100 MWe Beijing Gaojing Power Plant or Shangdong Huangdao Power Plant. An international technical-support company will be invited to supervise the technology transfer and engineering. The local plant will be responsible for construction and other facilities. The proposed detail schedule is as follows:
  • Within three months after authorization of the project, the international company will send two to three experts to China to inspect and finalize the project design;

  • Within six months after authorization of the design, manufacturing of dry scrubbers will begin, installation and operation will commence within three months;

  • The local plant will send technicians to the equipment source country for training.

    This activity will be organized by the Ministry of Machinery Industry and the Ministry of Metallurgical Industry. China National Environmental Protection Corporation and the local plant will be responsible for project implementation.

    The duration of this activity will be eighteen months.

• 3.2 Dry scrubbers will be installed at the smelter oven in Hangzhou Steel Plant or Benxi Steel Plant. An international technical-support company will be invited to supervise the technology transfer and engineering. The local plant will be responsible for construction and other facilities. The proposed detail schedule is as follows:
  • Within three months after authorization of the project, the international company will send two to three experts to China to inspect and finalize the project design;

  • Within six months after authorization of the design, manufacturing of dry scrubbers will begin, installation and operation will commence within three months;

  • The local plant will send three to five experts to the equipment export country for training.

  This action will be organized by the Ministry of Machinery Industry and the Ministry of Metallurgical Industry. The China National Environmental Protection Corporation and the local plant will be responsible for project implementation.

  The duration of this activity will be sixteen months.

• 3.3 Ten electro-precipitators in thermal power, steel, cement and asphalt plants and the municipal heating facilities in Beijing, Qingdao and Benxi will be selected as sites for installation of dry scrubber devices. The implementation schedule is as follows:
  • Within two months after authorization of the project, the international company will send two to three experts to China to inspect and finalize the project renovation design;

  • Within six months after confirmation by the local plants, renovation and operation will be completed.

    This action will be organized by the Ministry of Mechanical Industry and the Ministry of Metallurgical Industry. The China National Environmental Protection Corporation and the local plant will be responsible for project implementation.

    The duration of this activity will be twelve months.

• 3.4 China National Environmental Protection Corporation plans to import the dry scrubber technology and manufacture it in the Dezhou Chemical Industry Machinery Plant or the Wuhan Environmental Protection Equipment Plant. The implementation schedule is as follows:
  • Within 6 months after the authorization of the project, China Environmental Protection Corporation will send experts to the equipment source country for training. It is proposed that the international company will supply an entire set of dry scrubber blueprints and software to China National Environmental Protection Corporation to assist in product manufacturing;

  • Within 9 months after the authorization of the project, a dry scrubber application centre will be established. It is anticipated that up to 30 technicians and administrative personnel will undergo 3 months of training in the early phases of the project.

    This action will be organized by the Ministry of Machinery Industry. The China National Environmental Protection Corporation and the local plant will be responsible for project implementation.

    The duration of this activity will be twelve months.

5. Benefits

When implemented, the demonstration project and the firms using upgraded equipment will save more than US $70 million in installation and operation costs. If 50 percent of existing coal-fired facilities in China adopt the dry scrubber system, more than 10 billion RMB yuan of losses incurred from acid rain will be saved. Government sulphur dioxide control targets will be met five years earlier than expected, and both Chinese and foreign manufacturers will benefit greatly.