Air Liquide China, Shenergy and SCIP Investment are set to transform China’s Shanghai Chemical Industry Park into a hydrogen hotspot that will showcase the city’s largest-scale hydrogen filling centre, with a capacity of 24-tonnes per day.

The trio on Thursday (3rd March) inked an investment agreement for the project, believed to be a ¥180m ($28.5m) investment, in an effort to accelerate the deployment of hydrogen energy for mobility application in both the city and the Yangtze River Delta.

August 2022 is when phase one of construction will begin – and partners are already working to increase capabilities with liquefaction plants that could be introduced under second phase developments.

Nicolas Poirot, President and CEO of Air Liquide China, said, “Air Liquide is convinced that hydrogen is essential to carbon emission reduction, and has been using its expertise in both technology and operations in building and operating hydrogen infrastructures around the world.

“As a leading chemical park in China, accommodating almost all major international chemical companies, SCIP pioneers in developing a low-carbon development roadmap for the Chinese chemical industry.

“We are glad to establish this partnership with SCIP and Shenergy, which will allow us to utilise the abundant industrial byproduct resources to deliver low-carbon hydrogen. This will enable us to make more contributions to cleaner mobility and create a more sustainable future together.”

Promising to peak carbon emissions in 2025, five years earlier than the Chinese national target, Shanghai is committed to developing the hydrogen energy industry through a variety of measures – and this project will now act as a key enabler of this.

Song Xuefeng, Vice-President of Shenergy Group, added, “It is now a global consensus to promote low-carbon energy transition and utilise hydrogen energy. In this context, Shenergy Group endeavours to address the industrial pain points related to hydrogen storage, transportation, filling and utilisation.

“Through making diverse investments in the hydrogen energy and fuel cell industries and exploring end-user application scenarios, we have developed a hydrogen energy business with our own characteristics.

“The partnership with Air Liquide and SCIP is an important step for us, which aims to build the largest hydrogen supply basin in East China and assist Shanghai in pioneering the deployment of fuel cell vehicles in China.”

Ma Jing, Director of the SCIP Administration Committee, added, “Focusing on the national objectives of peaking carbon emissions and achieving carbon neutrality and the green economy development strategy, SCIP will accelerate the creation of industrial clusters in the hydrogen energy segments through the construction of Shanghai’s hydrogen energy supply system, new material research, development and manufacturing, fuel cell testing, and multi-scenario demonstration applications.

“We strive to build a ‘Hydrogen Energy Economic Service Headquarters for Yangtze River Delta’ and a ‘Pilot Area for High-quality Development of Shanghai’s Low-carbon Hydrogen Energy Industry’. It is of great significance that SCIP, Shenergy and Air Liquide join forces again to build the Shanghai Hydrogen Energy Supply Basin, which will drive forward Shanghai’s low-carbon hydrogen energy industry, enhance the city’s energy level and core competence, and yield fruitful results.”