The Ningdong Energy and Chemical Industry Base in northwest China's Ningxia Hui Autonomous Region, one of China's major energy production bases, is eyeing opportunities in hydrogen energy production. 

In contrast to grey hydrogen, which is produced from natural gas, green hydrogen, which is made from water and renewable power, has been considered a more climate-friendly energy solution. Producing green hydrogen is critical for the mega coal-to-chemical industry base to move towards modern energy industry. 

In September, China pledged to peak carbon dioxide emissions by 2030 and achieve carbon neutrality by 2060. With long sunshine duration of 3,000 hours per year, Ningdong boasts rich hydrogen and solar resources. Green hydrogen production costs less than about $3 per kilogram. With new technologies, the base is expected to save some 17 MMt of standard coal every year, cutting the emissions of over 30 MMt of carbon dioxide. By 2025, its production of green hydrogen will reach 200,000 t.