Natural gas enters a period of steady growth and will become one of the main energy sources of China's modern clean energy system. China is in a critical period of economic development and energy structure transformation. In the future, national price policies and environmental protection policies will become important factors affecting natural gas demand. As environmental governance continues to advance, carbon taxes and environmental taxes are imposed, and the clean and environmentally friendly advantages of natural gas will appear in the price. It is expected that natural gas consumption will enter a steady growth period in the next five years, and the average annual growth rate will remain at 10%-12%. The development speed is much higher than fossil energy such as coal and petroleum, and the potential is huge. According to the latest data from the National Development and Reform Commission, natural gas consumption in 2016 was 205.8 billion cubic meters, an increase of 6.6%, accounting for about 6.2% of primary energy consumption. According to the planning target, by 2020, the proportion of natural gas in the primary energy consumption structure will strive to reach about 10%, and the underground gas storage will form an effective working volume of 14.8 billion cubic meters. By 2030, we will strive to increase the proportion of natural gas in primary energy consumption to about 15%, and the underground gas storage to form an effective working volume of more than 35 billion cubic meters. It is estimated that by 2020, China's natural gas supply capacity will reach more than 360 billion cubic meters, and natural gas consumption will exceed 300 billion cubic meters. The growth of the proportion of natural gas energy consumption has been supported by new policies, and the certainty of growth has increased.

The policy continued to be good, and LNG natural gas heavy trucks ushered in an outbreak. Natural gas heavy trucks are gradually favored for their clean, environmentally friendly and low fuel costs, and have recently experienced explosive growth. According to the statistics of the Ministry of Industry and Information Technology, in May 2017, the domestic natural gas heavy truck market output was 7,660 units, a substantial increase of 674% over the same period last year, and the growth rate was 8 percentage points faster than that in April. In 2016, the cumulative production of China's natural gas heavy trucks was 19,601 units. The cumulative output of China's natural gas heavy truck market in 2017-2017 was 29,427 units, a year-on-year increase of 595%, which has reached 1.5 times of the 2016 annual production. At the same time, the "Opinions on Accelerating the Use of Natural Gas" pointed out that a more stringent environmental protection policy will be implemented: delineate and gradually expand the scope of high-pollution fuel-burning zones, strictly control pollution emissions in the transportation sector, and incorporate coal-to-clean energy into environmental assessment. According to the “Work Plan for Air Pollution Prevention and Control in 2017 in Beijing-Tianjin-Hebei and Surrounding Areas”, before the end of July 2017, Tianjin Port will no longer receive coal-mining coal transported by diesel trucks; before the end of September, all collections in Tianjin, Hebei and Bohai Rim The port coal is mainly transported by rail, and it is forbidden to receive coal from the port of Bohai Port for the transportation of diesel trucks. Strengthening the prevention and control of land transportation mobile source pollution has invisibly added to the development of the natural gas heavy truck market. With the advancement and optimization of natural gas heavy truck technology, the state's further emphasis on environmental protection and restrictions on pollutant emissions, as well as local favorable policies for natural gas heavy trucks, it is foreseen that natural gas heavy trucks will enter a period of rapid development.

The unified and open natural gas market system has gradually formed. In 2020, China's natural gas distributed generation installed capacity will reach about 230 billion yuan. With the development of China's natural gas industry in recent years, a survey and development system dominated by large state-owned oil and gas companies and involving multiple market players has been formed. In 2016, the “China Natural Gas Development Report” white paper was released for the first time. The oil and gas reform plan was promulgated in May this year. Encourage social capital to participate in or form a mixed-ownership enterprise to carry out infrastructure investment such as management, LNG receiving stations and gas storage, and encourage enterprises to participate in natural gas. Import and expand import channels. The combination of social capital and natural gas industry will make the utilization of natural gas resources more efficient and resource allocation more reasonable. The continued injection and policy support of third-party capital funds and technology will promote the growth of oil and gas oil garment investment. According to the National Development and Reform Commission's "Guiding Opinions on Developing Distributed Energy for Natural Gases", it is estimated that the total installed capacity of natural gas distributed energy in China will reach 50 million kilowatts in 2020, and the market scale will reach about 230 billion yuan. At present, the total installed capacity of natural gas distributed energy projects in the country is about 10 million kilowatts, with a gap of about 40 million kilowatts. It is estimated that by 2020, the total investment scale of natural gas distributed energy projects will reach 160-200 billion yuan.

AUYAN Technology believes that the “Opinions on Accelerating the Use of Natural Gas” will accelerate the popularization of natural gas applications, promote the increase of infrastructure investment in oil and gas pipelines, LNG receiving stations, and the growth of natural gas vehicle sales.