Zhejiang Quhua to put HFC-23 incineration project into production 01-21-2016

Zhejiang Quhua announced at the end of December 2015 that the HFC-23 incineration project would soon be put into production. CCM believes that the project will not only help reducing the company's carbon emissions and improving the clean production level, but it will also bring further financial support and it will help obtaining, in the future, the benefits of the national carbon trade market.



On 28 Dec., 2015, a trifluoromethane (HFC-23) incineration project (2,400 t/a) was announced to be soon put into production. This project was run by the fully-owned subsidiary of Zhejiang Juhua Co., Ltd. (Zhejiang Juhua), Zhejiang Quhua Fluor-Chemistry Co., Ltd. (Zhejiang Quhua).

The production of HFC-23 is a consequence of the difluorochloromethane (HCFC-22) production process and it is a potent green-house gas (global warming potential/GWP: 11,700) that can last up to 246 years in the atmosphere. For this reason and in accord to significant laws and regulations, it has been deemed that such a dangerous gas necessitates to be effectively disposed of to reduce the negative effects it might cause to the atmospheric environment.

Since the time Zhejiang Quhua had its first HFC-23 incinerator built in year 2006, the company is now currently possessing a total of 2 incinerators, which together burn an amount of about 100 tonnes of HFC-23 every year. Thanks to these machines, the reduction of carbon emission has reached 11 million tonnes, based on carbon dioxide (CO2) equivalence.

As soon as this new project is put into production, Zhejiang Quhua is granted to reduce carbon emissions by approximately 28.08 million tonnes (CO2 equivalence).

An insider at Zhejiang Quhua said the following: "The implementation of this new project will expand our international influence, because it embodies our will to protect the environment".

This new project, in addition to improving Zhejiang Quhua's clean production level of HCFC-22, will bring extra financial support and it will also help obtaining, according to CCM and relevant new policies, the future benefits of the national carbon trade market.

The National Development and Reform Commission (NDRC) declared in May 2015 that fiscal subsidy will be offered to main enterprises for their carbon emission reduction during the period of time starting from year 2014 to year 2019, with the purpose of promoting the further implementation of HFC-23 incineration, transition and exploitation.

Thanks to this initiative, Zhejiang Quhua received, in Aug. 2015, the amount of approximately USD5.20 million (RMB33.80 million) worth of subsidy from the Zhejiang Provincial Department of Finance. This donation helped the company saving a lot of operation expenses and enabled Zhejiang Quhua to better cope with the weakened HCFC-22 market. If compared with early 2015, the average ex-works price of HCFC-22 in the Chinese area had plunged in November by 30.58%.

NDRC released in July 2015 the Notice about the 3rd List of Ten Greenhouse Gas Accounting Methods and Report Guidelines for Enterprises (Trial). Included in this list was the Fluorochemical Enterprises Greenhouse Gas Emission Accounting Method and Report Guidelines (Trial) which set full preparations for the fluorochemical industry to participate in the national carbon trade market that is expected to start in 2016. The guidelines excluded though the recycling and disposal of HFC-23, which indicates that more emission space will be granted to enterprises with significant processing capabilities.

The accounting methods and report guidelines were imposed by the National Centre for Climate Change Strategy and International Cooperation and have been formulated with the support of the China Fluorine & Silicon Organic Material Industrial Association, Zhejiang Juhua and Dongyue Group Ltd.


To face the global low-carbon economic age that is bound to come, China is determined to further enhance the implementation of carbon emission reduction, according to CCM.


l According to the US-China Joint Announcement on Climate Change released in Sept. 2015, China intends to achieve the peak of CO2 emissions around 2030

l In Nov. 2015 the Paris Agreement, has been signed during the 21st United Nations Climate Change Conference (in Paris, France). The purpose of this agreement is keeping possible increases of global average temperature well below 2 . it also aims to reach as soon as possible the peak of greenhouse gas emission and to achieve the level of zero emission of greenhouse gases by the second half of the century

All of this will surely greatly encourage enterprises to put more efforts in reducing carbon emissions and it will hopefully also force small enterprises which are unable to afford more environmental protection out of the market.

In the meantime, China's constant promotion of hydrochloroflurocarbons (HCFCs) reduction will help cut the overall market supply and balance somehow the supply and demand.


If you need more information about HFC-23 in China, why not get a free-trial of CCM’s Online Platform? You can get much more information about HFC-23 or even the whole fluoride market for FREE!




About CCM:

CCM is the leading market intelligence provider for China’s agriculture, chemicals, food & ingredients and life science markets. Founded in 2001, CCM offers a range of data and content solutions, from price and trade data to industry newsletters and customized market research reports. Our clients include Monsanto, DuPont, Shell, Bayer, and Syngenta. CCM is a brand of Kcomber Inc.


For more information about CCM, please visit www.cnchemicals.com or get in touch with us directly by emailingecontact@cnchemicals.com or calling +86-20-37616606.


Tag: HFC, Zhejiang Quhua


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