Air Liquide reaffirms its support for China's carbon neutrality plans

Air Liquide stated that it remains steadfast and supportive of China's commitment to carbon neutrality and that it sees new potential in a variety of industries as economic development shifts toward high-quality development.

Air Liquide, a world leader in gases, technology, and services for industry and health, feels it is uniquely positioned to support China's ambition with shared aims and distinctive solutions in those disciplines, Nicolas Poirot, President & CEO of Air Liquide China, told Shanghai Daily in an interview.

"China is the largest consumer market and one of the top three markets for Air Liquide. We continue to see the Chinese market expanding and the Chinese people's increasing demand for higher-quality goods, services, and the environment," he said.

Air Liquide has taken three approaches to reduce CO2 emissions: decarbonize its own assets through CO2 capture, low-carbon hydrogen production, and energy efficiency; offer low-carbon solutions to help customers reduce their CO2 footprint; and, finally, accelerate hydrogen development.

According to its new strategic plan till 2025, ADVANCE, Air Liquide Group has set the goal of starting to reduce its CO2 emissions in absolute terms around 2025, lowering emissions by a third by 2035, and reaching carbon neutrality by 2050.

Air Liquide has been actively procuring renewable energy to decarbonize its plants across China for several years.

It intends to install rooftop PV panels at its China operations over the next three years, with the goal of reducing CO2 emissions by more than 5,000 tons per year.

A total of 1,200 GWh of low-carbon electricity is scheduled to be procured this year, representing a 120 percent increase over 2020.

It also aspires to be a significant enabler of the hydrogen society through the use of its assets, technologies, and expertise.

Poirot said hydrogen is a cornerstone for China's energy revolution and provides the company with significant growth potential as a competitive low-carbon solution for various applications in the industrial, energy, and mobility sectors.

Air Liquide has a diverse portfolio of technology solutions and services to meet the growing demand for energy-efficient technologies and smart solutions from local customers, including the supply of low-carbon gases, CO2 capture and management, and solutions to transform the customers' industrial processes.

In terms of circular economy and effective waste management, Air Liquide's biogas plant in Huai'an, Jiangsu Province, is likewise a trailblazer.

The unit, which has a total annual capacity of 75 GWh, generates biogas from agricultural and livestock waste and purifies it into biomethane. This is then pumped into the city's gas grid and generates power. The digestate is processed into biofertilizer for local consumption.

Air Liquide is planning a slew of new investments, particularly in fields such as energy transition, electronics, high-tech, and medical care.

In the field of energy transition, Air Liquide intends to further promote the development of the entire industrial chain of the local hydrogen energy industry, actively share Air Liquide's leading expertise in low-carbon hydrogen production, transportation, and storage technologies, and support local new forces in clean mobility.

Shanghai Chemical Industry Park Industrial Gases Co Ltd, an Air Liquide subsidiary, invested more than 200 million euros in Shanghai Chemical Industry Park to establish two hydrogen production units and related infrastructure.

These units will generate H2 and CO for chemical firms in the park, as well as mobility and other industrial and electronics customers in the Yangtze River Delta.

Another subsidiary, Air Liquide Yongli (Tianjin), has invested approximately 60 million euros to electrify its two ASUs, which are currently powered by third-party coal-based steam, which could avoid 370,000 tons of CO2 emissions per year. That is equivalent to the electricity-related carbon emissions of 1 million Chinese households.

It will also engage with the local electronics supply chain, particularly in the Yangtze River Delta and the Greater Bay Area, and provide advanced semiconductor manufacturers with the necessary precursors.

In terms of high-tech innovation, it will continue to increase exchanges with major technology sectors such as nuclear fusion, aerospace, biological sample storage, gene banking, and energy shipping, as well as seek partnership prospects.

The stability of the medical oxygen supply chain will be strengthened further in the field of medical care. It also seeks to develop home healthcare services and provide customized and exclusive services for Chinese patients with chronic respiratory diseases, in order to create clinical and economic value.

An active participant at the Shanghai Carbon Neutrality Expo, which opened today and is scheduled to run through June 14, Air Liquide said it is also seeking partnerships with companies that have a shared vision and commitment to sustainability and ESG principles, which will lay the groundwork for long-term collaboration.

Air Liquide will showcase a number of recent innovations, including the indoor vertical farming system, developed in partnership with the German business &ever, which has begun to be used in agricultural production, where it can help crops absorb CO2 and enhance productivity.

On seeking local partnerships, Poirot said that "local experience, innovative technologies, solutions, business models, market access, or particular industry knowledge are vital."

This could hasten the development and deployment of sustainable technologies while also stimulating innovation in line with China's green development goals.