Carbon targets bring a new boon to energy companies

China’s carbon neutrality plan is important for building a green future and will lay a solid foundation for the success of multinational energy companies in the country, a top executive said.

“As China intensifies its explorations in energy transition, our cooperation with Chinese partners continues to deepen, expanding from the local market to the global market and expanding from traditional industries to new energy fields,” said Yu Yongjian, country chairman of TotalEnergies China.

Amid China’s efforts to transition to cleaner energy sources, the company has explored and promoted cooperation with the country in various clean energy businesses and technologies, including green electricity, biofuel-hydrogen energy and carbon capture, – use and storage (CCUS). also has an eye for further expansion locally.

China has begun to translate policy into action and formulate dynamic and pragmatic roadmaps, and TotalEnergies is committed to deepening its partnerships with Chinese companies to achieve the common goal of net-zero emissions, Yu said.

As part of the company’s efforts to expand its footprint to cover a greater share of renewable energy activities in China, it has already deployed more than 500 megawatts through its joint venture TotalEnergies Envision Energy Services %26Solutions Co has developed rooftop solar projects in the country, contributing to China’s sustainable energy capacity.

The company is also seeking to participate in China’s offshore wind energy market, taking advantage of its experience in offshore and deep-sea operations to harness the vast potential of wind energy to meet China’s increasing demand for cleaner and sustainable energy, the company said.

Yu said the company looks forward to working with Chinese partners to further promote the development of China’s offshore wind industry.

The burgeoning expansion of multinational energy companies within China’s renewable energy sector is poised to cement their position as a key catalyst in the country’s environmentally friendly evolution, said Luo Zuoxian, head of intelligence and research at the Sinopec Economics and Development Research Institute.

The strategic expansion of these companies further underlines the global energy sector’s recognition of the need for collective action in the fight against climate change, Luo said.

The company is also actively pursuing projects in land-based renewable energy, e-mobility, biofuels and hydrogen energy to support China’s gradual shift to a net-zero policy.

In March, the company signed an agreement with China Petroleum %26Chemical Corp, or Sinopec, to jointly build a production line with an annual capacity of 230,000 tons of sustainable aviation fuel (SAF) to help the nation’s aviation industry reduce its carbon footprint.

The planned unit will produce SAF and process local waste or residual flows from the circular economy, including cooking oils and animal fats. TotalEnergies has set itself a target of 1.5 million tonnes of annual SAF production by 2030.

Ma Yongsheng, Chairman of Sinopec, said the cooperation with TotalEnergies is in line with Sinopec’s strategy for developing low-carbon solutions for China and the world.

As the third largest LNG player in the world, TotalEnergies has also supplied more than 5 million tonnes of liquefied natural gas per year to the country by 2023. The company will further develop its LNG activities in China and contribute to China’s energy transition.

According to Yu, energy storage is an indispensable technology for the development of renewable energy. The company has expanded its operations into several industries and is playing an increasingly important role in the country.

“As one of the first international energy companies to enter China’s offshore oil and gas exploration and refining business after the country’s reform and opening-up policy, we have been present in China for more than 40 years and are actively involved in the entire chain of the energy industry. Yu said.

“We are committed to continuing to share experiences, technologies and expertise with Chinese partners to establish mutually beneficial cooperation as we jointly develop energy businesses at home and abroad.”