China: is hydrogen from hydrocarbons environmentally friendly?

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 China: is hydrogen from hydrocarbons environmentally friendly? 

2026-03-02

Here is a question that has come up more and more often in conversations lately: can it even be called “green?” Hydrogen derived from fossil fuels? Many people immediately say “no” without going into the details of the process. But in practice, everything is not so simple, especially if you look at what actually happens in factories, and not in ideal schemes.

Where is “blue” born? hydrogen

When people talk about hydrogen from hydrocarbons in China, they most often mean steam-gas methane reforming (SMR) or coal gasification. The technologies are old and proven. The main problem is CO2. If it is simply released into the atmosphere, then there is no question of any environmental friendliness. The key word here iscarbon capture and storage(CCS). Without this, the whole process loses its meaning from a “green” point of view. transition.

I have seen installations where they tried to implement CCS in an already running production facility. The difficulty lies not so much in the capture technology itself, but in logistics and storage. Where should this CO2 go? There are options: injection into oil reservoirs to enhance oil recovery or into deep geological formations. But this requires huge infrastructure and, critically, suitable geology near the plant. It is not available everywhere.

One of the projects that is often remembered in this regard is the workChengdu Yizhi Technology Co.(their website isyzkjhx.ru). They are not just theorists, they are a design institute with a registered capital of 120 million yuan, established by Huaxi Technology. Their specificity is precisely integrated engineering solutions for the chemical industry. When they approach hydrogen, they look at the entire cycle, from feedstock selection and conversion technology to gas purification systems and, most importantly, the integration of carbon capture units. This is not about simply buying a license, but about designing a system that will work in the specific conditions of a particular plant.

Practical pitfalls and ?gray? zone

In theory, everything sounds good with CCS. In practice, the efficiency of the installation decreases - additional energy is spent on capturing and compressing CO2, often the same energy obtained from fossil fuels. A paradox arises: to make hydrogen “purer”, you need to burn more fuel. Energy balance becomes the main stumbling block.

Another nuance that is rarely mentioned in press releases is the purity of the original methane. In China, a significant part of the methane for industry is not perfectly pure natural gas, but associated petroleum gas or coke oven gas. In addition to methane, they contain a whole bunch of impurities: hydrogen sulfide, mercaptans, heavy hydrocarbons. Before conversion, all this must be removed, otherwise the catalyst will quickly be poisoned. Cleaning processes also involve energy consumption and waste. It turns out that the environmental friendliness of the final product strongly depends on “purity?” the very beginning of the chain.

I had experience at one installation where they tried to use coal gas. Problems began at the stage of preparing the pulverized coal suspension. And when it came to systems for purifying synthesis gas from sulfur and particles, the costs of maintenance and replacement of sorbents ate up all economic feasibility. The project was eventually refocused on other tasks. This is a typical example when laboratory indicators are broken by the reality of operation.

Hydrogen as part of the system, not a magic wand

A common mistake is to look at hydrogen on its own. Its environmental friendliness is assessed in the context of the end use. Let's say we produced hydrogen with 90% CO2 capture. But if it then goes to an oil refinery for hydrotreating, and the product of this processing is regular gasoline, which is burned in engines, then the overall picture for the climate will not change much. Hydrogen here is only an intermediate agent in a chain that overall remains carbon-intensive.

Another matter is the use in industry, where there are no direct alternatives to decarbonization. For example, in the production of ammonia or methanol. Here is a replacement for the traditional “gray” hydrogen to ?blue? (the same one from hydrocarbons with CCS) gives an immediate and significant effect in reducing emissions at a particular enterprise. It is precisely such sectors that are worth betting on first of all, and not on scattered transport.

Companies likeChengdu Yizhi Technology Co.They just focus on such systemic, industry-specific solutions. Their approach is not to sell a magic installation, but to analyze the customer’s entire process cycle and suggest where exactly the integration of hydrogen solutions or CCS technologies will give the maximum environmental and economic effect. This is not a job for show, but to actually reduce our carbon footprint.

Issue price and Chinese context

It all comes down to cost. ?Green? Hydrogen (from renewable energy sources) is still expensive. ?Grey? (without catching) - cheap, but dirty. ?Blue? - trying to find balance. In China, with its huge coal gasification capacity and developed gas pipeline network, the infrastructure for the “blue” hydrogen seems like a logical transition stage. This is not forever, but for the next 15-20 years, until renewable energy electrolysis becomes widespread and cheap.

But there are pitfalls here too. The reliability of CO2 storage systems must be absolute. Any leak negates all efforts. Public opinion and regulation also play a role. Will the population be willing to live next to underground CO2 storage? So far, such projects are facing resistance, which is hindering their implementation.

In addition, there is the issue of standards. What exactly is considered “blue”? hydrogen? What percentage of capture is sufficient? 90%? 95%? 99%? Both labeling and potential preferences depend on this. While there are no uniform rules, many manufacturers prefer to wait or limit themselves to pilot projects.

So is it environmentally friendly or not? Personal conclusion

A clear answer: yes? or not? No. Hydrogen from hydrocarbons is a tool. Its environmental friendliness is not an internal property, but the result of how exactly this tool is used. If it's full-scale lifecycle carbon capture, integration into industries where hydrogen is critical, and an honest accounting of the overall carbon footprint, then yes, it can be a meaningful step towards sustainability.

If it's just ?green? label on the old process for obtaining funding, without real investment in CCS and a systems view - then no, it's justgreenwashing.

Experience suggests that the future lies in hybrid solutions. Perhaps it will be a combination of ?blue? hydrogen on existing assets with a gradual increase in the share of “green”. And companies like the aforementioned Chengdu Yizhi Technology design institute play a key role in this transition, because their task is not just to build, but to design systems that are adaptable, efficient and, most importantly, work in real, not ideal conditions. Without this practical, engineering approach, all talk about environmental friendliness will remain just talk.

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