Zhongjin: The development of the electricity industry is facing new challenges in consumption, and new formats such as green electricity, hydrogen, ammonia, and alcohols are expected to receive policy support.

Zhongjin released a research report stating that the installed capacity of new energy in the "14th Five-Year Plan" period is growing rapidly. By the end of 2025, the cumulative installed capacity of wind power/CECEP Solar Energy will reach 640/1,200 million kilowatts, which is 2.3 times/4.7 times higher than that at the end of 2020. The rapid growth of power investment compared to demand has led to a local power supply restriction rate of over 30%, posing new challenges for industry development. This has prompted a shift in policy focus towards strengthening demand side responsibility and exploring new formats such as green electricity for hydrogen, ammonia, and alcohols. Currently, domestic wind power companies are deeply involved in the field of green methanol, and have the necessary conditions in terms of technology characteristics, regional resources, and costs. It is recommended to pay attention to related companies that are expanding their green methanol business. Key points of Zhongjin's report are as follows: The demand for carbon reduction in international shipping is driving the accelerated application of green methanol In recent years, under the impetus of the international shipping industry's carbon reduction targets, global shipping giants such as Maersk, COSCO Shipping, ONE, Evergreen Marine, and Hapag-Lloyd have been planning to replace fuel-powered vessels, mainly with methanol-powered vessels. According to the Orange Research Institute, as of the end of 2025, the global number of ships powered by methanol is expected to reach 439, with only a few in operation. The next few years are expected to be a peak period for operation, with the global demand for green methanol in the shipping industry expected to increase by 6.72 million tons annually from early 2025 to the end of 2027, representing a growth rate of 640%. "Green building green" and improving the consumption of green electricity have become a new focus of the construction of a new type of electricity system in the "15th Five-Year Plan", and are expected to receive policy support During the "14th Five-Year Plan" period, the installed capacity of new energy grew rapidly, reaching 640/1,200 million kilowatts for wind power/CECEP Solar Energy by the end of 2025, which is 2.3 times/4.7 times higher than that at the end of 2020. The fast growth of power investment compared to demand has led to a local power supply restriction rate of over 30%, posing new challenges for industry development. This has prompted the shift of policy focus towards strengthening demand side responsibility and exploring new formats such as green electricity for hydrogen, ammonia, and alcohols, involving consumption assessment targets, pilot demonstrations, infrastructure construction, etc. Wind power companies are deeply involved in the field of green methanol, with the necessary conditions in terms of technology characteristics, regional resources, costs, etc. The advantages of wind resources in the Three-North region are significant, with some areas reaching up to 3,000 hours of wind power generation, making it a necessary, continuous, stable, and low-cost source of green hydrogen for producing green methanol. In addition, Northern regions are often rich in biomass raw materials (such as straw), providing conditions for the synergy of the industry chain. Currently, many wind power-related companies have deeply engaged in expanding their business in the field of green methanol, including: 1) wind power equipment manufacturers such as Goldwind Science & Technology (with a 250,000 tons/year project in Inner Mongolia's Xing'an League), Windey Energy Technology Group (Handan green methanol project), and Vision Energy (Green hydrogen ammonia project in the Zero Carbon Hydrogen Energy Industrial Park in Yuanbaoshan, Chifeng, Inner Mongolia), 2) Wind power operators: Jilin Electric Power (Lishu Wind Power making green hydrogen and biomass coupling green methanol project), Jiaze Renewables Corporation (Jixi, Heilongjiang green hydrogen alcohol aviation fuel chemical production project), China Tianying Inc. (Integrated project of wind power, solar power, hydrogen storage, ammonia, and alcohols in Liaoyuan, Jilin). Risk factors: Downstream applications of green methanol do not meet expectations; rapid capacity construction leads to increased competition.