Umore Intelligence

Say Goodbye to the Good Old Days: China’s Flue Gas Treating Companies’ Reluctant Choice

China has been keeping and strengthening its ‘super power’ position in electricity since its electricity production exceeded America in 2010. What is also noteworthy is that, China has an incredibly high ratio of fire power, which is still as high as 74.37% in 2016 after years of substitution. This situation has a historical reason that after PRC’s founding in 1949, China was in urgent need of power to support industrial development, and fire power’s advantages made it best choice, which including wide adaption of local condition, short construction period and stable & continual power generation.

Along with decades of dramatically fast building of fire power plants, China’s flue gas treatment industry met its opportunity to be born and grow up. That is why top air pollution control companies’ clients highly centralized in fire power groups such as DATANG POWER. It is no exaggerate to say that China’s air pollution control industry’s development is based on the great fire power construction movement.

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However, things seem to change in recent years. As air pollution becomes more and more serious, Chinese government decides to improve the situation by reforming the energy structure. That is, more specifically, to substitute the fire power, especially from coal-fire plant, with other cleaner energy resource such as nuclear power. This trend made the financial reports of flue-gas treatment contractors, especially the thermal-power-client relied ones, look not so pretty, and consequently force them to change.

In fact, the leading companies in this area like Zhejiang Feida and Beijing Spc are trying their best to open up non-power markets. That means, reluctantly or not, they have to change their marketing strategy, modify their products technical processes, searching for new collaborators, and even buy other companies. Among the non-power markets, clients from petrochemical, fine chemicals, municipal waste incineration industries seem to be attractive as their business fields are fast growing.

In conclusion, China’s air pollution control companies have come to a crossroad after a fast-growing period, one way is keeping on relying on the power industry, the other is gradually dispensing from the influence of fire power’s decline. Undoubtedly, those chose to say goodbye to the good old days have a brighter future.