A chemical company recently launched an innovative steam recycling system for its production base in Zhangjiagang, East China's Jiangsu province, which is expected to effectively convert waste steam into electricity and thereby help lower the company's energy expenses.

Focusing on hydrogen power, Nanjing, Jiangsu-based Oriental Energy produces a large amount of waste heat and steam during its daily operations. In the past, the excess steam could only be utilized to dry the workshops and equipment, and the utilization rate stayed at around only 10 percent, the company said.

With the new Waste Heat to Power (WHP) system in place, steam turbines are driven by waste steam and generate around 17.4 million kilowatt-hours of electricity annually. As a result, the company will be able to raise its steam utilization rate to 90 percent, said You Shihong, an executive at Zhangjiagang Power Supply Co of State Grid Corp of China, the project's major developer.

WHP is a clean energy technology that captures heat discarded by an existing thermal process and uses that heat to generate power. It not only increases electricity production, but also improves energy efficiency, contributing to environmental protection.

The project is part of the power supplier's efforts to help its users upgrade manufacturing systems, after seven Chinese government departments — including the Ministry of Industry and Information Technology and the National Development and Reform Commission — jointly launched an implementation plan earlier last month, with an aim to promote the upgrade and green transformation of industrial equipment across the country.

"Accelerating energy technology upgrade and promoting the transformation and upgrade of the power sector are not only crucial to achieve sustainable development, but also serve as a vital pillar for constructing a modern industrial system in China," said Xiang Haiping, chief engineer of the National Energy Administration, during an earlier interview.

The new system currently has an installed capacity of 4.5 megawatts, the largest of its kind in China, which will help Oriental Energy save about 10 million yuan ($1.38 million) in energy costs and 5,379 metric tons of standard coal equivalent consumption each year, You said, adding that the company's carbon dioxide emissions will be reduced by around 12,200 tons annually as well.

As of January 2023, the installed capacity of WHP accounted for only about 2 percent of the total installed capacity of nationwide power generation, a report from industry research company ChinaIRN.com said.

However, with continuous research and breakthroughs in high-efficiency energy-saving technologies, the installed capacity of WHP nationwide is expected to reach 200 million kilowatts by 2026, the report said.