The 2021 version has clearly defined the energy efficiency benchmark and benchmark levels for 14 key chemical fields, including refining, coal to coke, coal to methanol, coal to olefins (ethylene and propylene), coal to ethylene glycol, caustic soda, soda ash, calcium carbide, ethylene (naphtha hydrocarbons), xylene, synthetic ammonia, yellow phosphorus, monoammonium phosphate, and diammonium phosphate, and will be implemented from January 1, 2022.

The Notice requires classification to promote project efficiency and meet standards:

For planned and ongoing projects, implementation should be based on the energy efficiency benchmark level, and efforts should be made to improve the energy efficiency level to fully achieve the benchmark level.

For existing projects with energy efficiency lower than the benchmark level of the industry, a reasonable transition period for policy implementation should be set up to guide enterprises to carry out energy-saving and carbon reduction technology transformation in an orderly manner, improve production and operational energy efficiency, and resolutely eliminate outdated production capacity, processes, and products in accordance with the law and regulations.

Strengthen the promotion and application of green and low-carbon process technology and equipment, and promote the formation of a strong domestic market.

The notice also requires that, based on the energy efficiency benchmark level and benchmark level, the renovation, upgrading, and elimination should be implemented in batches within a specified period of time:

For projects that require technological transformation, each region should clarify the time limit for transformation, upgrading, and elimination (generally not exceeding 3 years), as well as the annual transformation and elimination plan. Within the specified time limit, energy efficiency transformation should be upgraded to above the benchmark level, striving to reach the benchmark level of energy efficiency; Eliminate projects that cannot be completed on schedule.

Resolutely curb the unreasonable use of energy in high energy consuming projects, and restrict the use of energy for projects with energy efficiency lower than the industry benchmark level and failure to upgrade on schedule.