China’s National Energy Administration (NEA) says it plans to launch 1000 distributed generation (DG) projects with natural gas as the fuel source in 2011.

Currently, China has 5 GW of installed capacity of DG-based generators with natural gas as the fuel, which accounts for less than 1% of total distributed generation.

According to the NEA, by the end of 2020, the installed capacity of DG-based natural gas generators is expected to reach 50 GW, a ten-fold increase on 2011, representing 3% of total installed capacity.

Natural gas-fired heat and power cogeneration systems are currently one of the most popular forms of distributed energy.

The NEA recently said it would draw up policies supporting the development of natural gas in distributed energy systems, and would formulate policies promoting the development of renewable energy while proceeding with pilot DG projects.

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