China’s Newest Power Plant Swaps Steam for Supercritical CO2

by | Sep 24, 2026 | Energy

China's Newest Power Plant Swaps Steam for Supercritical CO2

Construction commenced last week on the Ruitan demonstration project, a hybrid energy facility located in Shandong province in eastern China. The installation is being built at the site of the Bajiao coal-fired power station in Yantai and is anticipated to become operational by next year, representing the first facility of its kind to function globally. The initial phase will feature a 50-megawatt supercritical carbon dioxide unit paired with a molten salt energy storage system rated at 100 megawatts.

The facility operates by capturing surplus energy from the existing coal plant during periods of low demand and storing it thermally within a molten salt reactor. During peak demand hours, this thermal energy powers a supercritical carbon dioxide unit that drives a turbine to produce electricity, replacing the steam systems found in conventional power plants. The supercritical carbon dioxide operates under precise temperature and pressure conditions where its molecules exhibit properties of both liquid and gas states, enabling operation within a closed-loop system.

Supercritical carbon dioxide technology offers multiple advantages over traditional power generation methods, including smaller physical footprints, reduced water requirements, higher efficiency rates, and lower carbon emissions. These systems also demonstrate greater flexibility and responsiveness compared to conventional plants. The Ruitan project reflects China’s broader expansion of advanced clean energy technologies, as the nation has become the global leader in renewable energy patent filings and research advancement.

China’s clean energy sector has experienced dramatic growth, with Chinese companies accounting for approximately 75 percent of global clean energy patent applications by 2022, compared to just 5 percent in 2000. Between 2019 and 2025, China invested more than half of the $1.1 trillion deployed globally in clean energy, substantially outpacing the United States’ $236 billion in comparable investments. This concentration of development and manufacturing has established China as the world’s leading electrostate with significant leverage in global clean energy markets.

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