(Yicai Global) March 23 -- Shares of hydrogen-related businesses soared after China, the world’s biggest producer of the gas, announced a mid-to-long-term roadmap to increase production of the fuel from renewable sources.

Hengguang Technology [SHE: 301118] and Sunfly Intelligent Technology [SHE: 300423] today closed up 20 percent, the exchange-imposed daily limit, while Zhiyuan New Energy Equipment [SHE: 300985] gained 11.4 percent.

China’s annual hydrogen output from renewable energy sources will soar to between 100,000 tons and 200,000 tons by 2025, reducing carbon dioxide emissions by 1 million tons to 2 million tons, according to the blueprint released today by China's energy agency and top economic planner. Hydrogen’s share in energy use will greatly increase by 2035, they added.

The country makes about 33 million tons of hydrogen a year mainly from fossil fuels and as an industrial byproduct, releasing a large amount of CO2 emissions in the process. To produce a kilogram of hydrogen from fossil fuels, China emits on average 10 kilograms to 30 kg of CO2, Xinhua News Agency reported, citing the results of a study.

China also ranks first worldwide by installed capacity of renewable energy generation and has a huge potential for clean and low-carbon hydrogen energy supply.

Government departments will encourage green hydrogen demonstration projects in areas with good wind, solar, and hydroelectric resources to support the goal of realizing peak carbon emissions and carbon neutrality, Liu Yafang, deputy head of the National Energy Administration’s department of science and technology, said at a press conference today.

Editor: Futura Costaglione