China has started work on a project to reduce natural gas consumption by blending it with hydrogen that will provide energy to 100,000 households.

The project in Weifang in the eastern province of Shandong is first to be carried out on such a scale and forms part of the country’s green energy push, an effort that is likely to gain further momentum in the wake of the current global energy crisis.

It uses equipment capable of handling up to 30,000 cubic metres (1 million cubic feet) of hydrogen-blended gas, allowing a hydrogen mix of up to 10 per cent to be added to the gas supply, according to state broadcaster CCTV.

Initial estimates suggested that if a 10 per cent blend were used across urban gas networks nationwide, it could save around 15 billion cubic metres of natural gas a year and cut China’s carbon dioxide emissions by roughly 30 million tonnes, CCTV said.

China consumed 426.5 billion cubic metres of natural gas last year, according to the National Development and Reform Commission.

The launch comes at a time when global energy prices are soaring because of the closure of the Strait of Hormuz, a key shipping route for oil and gas, as a result of the Iran crisis.

Imports from the Middle East play an important role in China’s energy supply, with Qatar and the United Arab Emirates accounting for roughly 30 per cent of its total liquefied natural gas imports last year – some 6 per cent of its total gas supply – according to S&P Global Energy.