US Proposes Legislation to Ban Certain Chinese Energy Storage System Imports; AI Power Shortage Triggers Epic Order Surge for Chinese Manufacturers
（2026/02/23—2026/03/01）
Author：Hao-Wang
International Energy News
1. US Proposes Legislation to Ban Certain Chinese Energy Storage System Imports
Recently, the US has proposed legislation aiming to ban the import of certain Chinese energy storage systems. The core of the proposed "Countering Harmful Adversarial Rechargeable and Generating Energy Act" (the "CHARGE Act") is to prohibit the import of energy storage systems with remote monitoring capabilities that are manufactured using technology owned or licensed by Chinese entities. Proponents of the bill cite grid security as the primary reason for the ban. The act also specifies penalties, with intentional violators facing up to five years in prison and/or fines of up to $250,000.
Currently, this proposal is only in the initial stage of the US legislative process. To be officially enacted, the bill must pass both the House and Senate in an identical version and be signed by the US President.
2.Google and AES Reach 20-Year "Co-located Generation" Partnership to Reduce Grid Reliance
Recently, tech giant Google reached a 20-year "co-located generation" agreement with US power company AES to supply energy for its new hyperscale data center in Texas. This model involves building dedicated power generation facilities adjacent to the data center, which can reduce reliance on the public grid and improve energy efficiency.
AES will be responsible for the construction, operation, and full-cycle energy services of the generation facilities, providing a reference for energy solutions for computing enterprises in the AI era. Both parties have reached gigawatt-level energy cooperation with data center customers, contributing significant new energy capacity to the region. This project marks Google's fifth data center venture in Texas, where it plans to invest $400 billion by 2027. The project utilizes water-saving technologies, and Google has established a special fund to support local livelihoods and energy conservation. The news of the partnership led to a slight increase in AES's stock price.
3. India Reaffirms Unchanged Position on Purchasing Russian and Venezuelan Oil
Recently, the Indian Ministry of External Affairs reaffirmed that its position on purchasing oil from Russia and Venezuela remains unchanged. Such procurement is guided by national interest, following principles of adequate supply, reasonable pricing, and stable sources to promote energy diversification. India stated it will continue to explore purchasing oil from Venezuela provided commercial conditions are favorable.
Earlier on February 9, India provided a clarification on its oil procurement stance. On February 2, the US announced it would reduce tariffs on Indian goods from 25% to 18%; however, India has not confirmed any related procurement commitments.
Domestic Energy News
1. AI Power Shortage Triggers Epic Order Surge for Chinese Manufacturers
Driven by the explosive electricity demand from AI data centers, the global gas turbine market is experiencing historic growth. Giants such as Siemens Energy, GE Vernova (GEV), and Mitsubishi Heavy Industries have backlogs extending to 2030. Because AI data centers consume as much power as entire cities and require extreme stability, gas turbines—with their 10-30 minute cold-start capability and millisecond-level peak shaving advantages—have become the core of power security for computing clusters.
Against this backdrop, Chinese manufacturers are breaking monopolies through industrial chain resilience. Since entering the North American market in November 2025, Jereh Group has signed four consecutive major contracts with a cumulative value exceeding 3.4 billion RMB, followed by an additional $181.5 million order in February 2026. Simultaneously, suppliers like Yingliu Huayu are providing critical components such as turbine blades, with stock prices rising over 50% this year; OEMs like Dongfang Electric are also accelerating independent breakthroughs. As the global capacity gap persists, the penetration of domestic turbines in the high-end 300MW+ market is expected to rise rapidly.
The Chinese gas turbine industry is shifting from "following" to "running alongside" global leaders. During the global supply gap window of 2026-2028, China is poised to deeply participate in global digital energy infrastructure through high cost-performance and rapid delivery capabilities.
2. China Leads the Trillion-Level Green Hydrogen, Ammonia, and Methanol Sector
The Chinese green hydrogen, ammonia, and methanol industry exploded in 2025. At the policy level, the state mandated that coal-fired power plant retrofits must incorporate a minimum of 10% green ammonia co-firing and officially integrated wind/solar-to-hydrogen/ammonia/methanol processes into the Green Electricity Certificate (GEC) system. In terms of capacity, China’s green hydrogen production accounts for over 50% of the global total, with newly planned green methanol capacity reaching 5.699 million tons in December 2025 alone. Inner Mongolia, Jilin, and Liaoning have become industrial highlands due to their abundant renewable resources.
Cross-sector giants such as China Energy Engineering Corporation (CEEC), Envision Energy, and Goldwind are building full-chain ecosystems covering "wind/solar-hydrogen-ammonia/methanol-storage/transport-refueling," successfully facilitating the first entry of green ammonia into the international shipping fuel market. Facing international trade regulations like the EU's CBAM, China has seized the initiative through manufacturing prowess and resource advantages. It is estimated that green hydrogen capacity will exceed 500,000 tons per year in 2026, as the industry focus shifts from scale expansion to technological stability and cost reduction. By establishing a "technology-standard-market" closed loop, China is defining a new global landscape for hydrogen civilization.
3. New Regulations for National Unified Power Market Reconstruct Green Power Trading
The recent release of the Implementation Opinions on Improving the National Unified Power Market System marks a new stage in China's power reform. The document clarifies the core status of Green Electricity Certificates (GECs) as the fundamental credential for renewable energy environmental attributes. It proposes a green power consumption system combining mandatory and voluntary requirements and encourages the signing of medium-to-long-term purchase agreements. Technically, it fully introduces blockchain for full-lifecycle traceability and certification, supporting international mutual recognition of standards and exploring the inclusion of GECs in carbon accounting.
Furthermore, the policy encourages using green power trading to implement inter-provincial priority power generation plans to break local barriers, while researching the participation of agro-forestry biomass power generation in the CCER (China Certified Emission Reduction) market. These measures will accelerate the market-based pricing of green power's environmental value and comprehensively drive the energy system toward a clean and low-carbon transition.
(Main news sources: CCTVNEWS APP, International Energy Network, China Energy Network, National Energy Administration, China Energy News)
