Municipal Natural Gas Infrastructure Development Project
China partners with private companies to provide its cities with natural gas. The “Municipal
Natural Gas Infrastructure Development Project” supplied five major metropolitan areas with
compressed natural gas, including for powering public transportation. This project has reduced
pollution, including emission of greenhouse gases, and increased quality of life for urban
- More than 2,000 kilometers of additional gas distribution pipeline built
- 165 compressed natural gas stations built in 36 cities for cities and buses
- Reduction of 634,000 tons of carbon dioxide per year
Air pollution, acid rain, and greenhouse gas emissions threaten people and the environment, in the
People’s Republic of China, across Asia and throughout the world. Pollution knows no boundaries.
Among other factors, cars fueled by gasoline, along with industrial boilers and furnaces that consume
almost half of China’s coal, make up major sources of urban air pollution.
China aims to substitute polluting fossil fuels like coal, with natural gas by building up its natural gas
distribution network. The Asian Development Bank, working with the private-sector company China Gas
Holdings, has expanded the natural gas pipeline network, adding distribution infrastructure to more than
100 Chinese cities. The company also built compressed natural gas stations for public transport. Since the
project started, the number of natural gas users in China has increased ninefold.
In addition, the bank trained the management of China Gas Holdings in corporate governance – the
company has since won several awards for positive corporate governance.
Helping the planet
Natural gas burns far cleaner than petrol or coal, so this project has reduced emissions of air pollutants
such as particulates, sulfur dioxide, nitrogen oxide, and carbon dioxide. This, in turn, has reduced the
threat of acid rain, as well as mitigating impending climate change.
Reducing air pollution in cities significantly increases the quality of life for urban populations.
Providing access to a clean and reliable energy source assures energy security for the generations to come.
The project has shown tremendous growth and has greatly increased the scale of natural gas use. Successful
implementation, including demonstration of the public-private partnership model, has encouraged more
municipalities to consider private sector participation for natural gas distribution.
Images owned by the activity partners, all rights reserved.