Page 13 - AsiaElec Week 13 2022

AsiaElec RENEWABLES AsiaElec

Shenhua to increase focus on

green investment by 2030

CHINA CHINA Shenhua Energy plans to increase revenue is power generation, with a revenue of
investments in renewable energy to 40% of capex CNY64.12bn in 2021, a year-on-year increase of
by 2030 and will not build any new coal plants 55.3%.
from 2025. The company said its estimated direct green-
The company’s pivot to renewables comes as house gas emissions stood at 177mn tonnes in
the Chinese government maintains its long-term 2021, up from 135mn tonnes in 2020.
commitment to green goals while still accepting The company said its new energy business
coal’s short-term role in the country’s industrial expenditure would rise to CNY5.02bn in 2022,
sector. a 151-fold increase compared to that in 2021.
Shenhua said in an earnings update that just In 2021 Shenhua had mines with a produc-
0.08% of total capex in 2021 was dedicated to tion capacity of 330 million tonnes, three major
green projects. coal ports, 37,900MW of coal plant capacity, an
Shenhua’s net profit jumped 28% in 2021, extensive fleet of coal ships, and a network of rail-
mainly thanks to a substantial increase in rev- ways. It also operates the Baotou coal-to-chem-
enue driven by growing demand in the coal icals plant.
market. Net profit climbed to CNY51.61bn The company stated it would not build new
($8.11bn) in 2021, the Hong Kong-listed Chi- coal plants “after 2025”.
nese energy company said in a statement late Shenhua is a listed unit of state-owned China
Friday. This reversed a declining trend for the Energy Investment Corp., which is the coun-
past three years from 2018 to 2020. try’s biggest coal miner with output of 570mn
Revenue rose by 44% to CNY335.22bn in tonnes in 2021. It is also the world’s second-big-
2021 from CNY233.26bn in 2020. gest renewable power developer, with more
Shenhua’s said that that the coal market than 41GW of generating projects, according to
would gradually stabilise in 2022, and the coal BloombergNEF data.
price increase will slow down. The company’s Most of its renewable projects are under
coal production and sales will also shrink from another listed subsidiary, China Longyuan
the previous year. Power Group Corp.™
The company’s second largest source of

Week 12 23•March•2022 www. NEWSBASE .com P13