In advance of the G20 Summit to be hosted at the beginning of September in China, the Shanghai government will be closing down 255 of its industrial facilities in order to reduce pollution before the arrival of world leaders. The shutdown period will be August 24 through September 6 and affects facilities from different industries within a radius of 150 km of Hangzhou, close to Shanghai.
According to industry and government officials, authorities in neighboring Zhejiang and Jiangsu provinces are set to issue similar orders to limit air pollution and safety hazards within a 300 km radius from Hangzhou.
This approach is not unusual. China has undertaken similar efforts to achieve a temporary smog lift in advance of other high profile events such as, the 2008 Olympics, the Shanghai World’s Fair in 2010, and the Asia-Pacific Economic Cooperation Summit in 2014.
These types of shutdowns can have a huge impact on your supply chains which make immediate actions mandatory.
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As of June 2016
- Power, steel chemical and petrochemical operations must limit their air pollution by 70 percent throughout the city, and by 80 percent in Jinshan District.
- Petrochemical operations in Shanghai must reduce production with a target of 50 percent.
- Production by coal-fired power stations will be reduced by 30 percent and all facilities must use only low-sulfur, high-quality coal.
- All chemical plants in the Jinshan District, save for those operating out of Shanghai Chemical Industry Park, will be closed.
- No new operations resulting in increased emissions at chemical and petrochemical facilities will be permitted.
- “Highly polluting” vehicles – a term which the Plan does not define– will be prohibited in Hangzhou.
- The use of agricultural, forestry, and port equipment shall be reduced by 30 percent across Shanghai and by 50 percent in Jinshan District.
- Gas stations, oil storage facilities and oil tanker trucks that have not installed oil and gas reclamation and emissions control equipment must cease operations.
- The Plan allows for the adoption of additional measures if certain weather patterns are forecast that might increase air quality issues.