Xinhua News Agency reported in late March that the Energy Administration of China’s Inner Mongolia Autonomous Region plans to accelerate the development of major energy projects. According to the information provided by the Energy Administration, the number of projects that individually reach more than RMB 100 million in investment comes to 262, and they account for about 40% of the region’s total investment in fixed assets for 2022.
According to Xinhua’s report, Inner Mongolia is one of China’s major energy production bases. The strategy of the regional government is to ensure a stable supply of traditional energy resources including coal. But at the same time, the region will adjust its own energy mix so as to make the transition to renewables. Xinhua said that Inner Mongolia seeks to take the lead in the country with respect to the development of an electric power system that are mainly based on renewables and new energy technologies. The regional government currently aims to have new energy technologies surpass traditional thermal generation in installation capacity by 2025 and in electricity production by 2030.
Xinhua also said that the government of Inner Mongolia is going to strengthen the industry chains for new energy technologies during 2022. The four specific technologies that the region is focusing on are wind power, solar PV, hydrogen, and energy storage. More large-scale PV and wind projects are expected to be set up in the region. They, in turn, will create the demand that fosters the localization of manufacturing for renewable generation equipment.
On the other hand, Xinhua’s report pointed out that Inner Mongolia will take steps to ensure the stability of energy supply and the “orderly activation of advanced coal production capacity”. Indeed, the Energy Administration will step up its supervision on the execution of medium- and long-term coal contracts in order to maintain a reliable supply delivery.