Page 356 - 2021 White Paper
P. 356
1 White Paper on the Business Environment in China
2.7 Electricity Generation
Key Take-Aways But, as the country is the world's biggest electricity
consumer, the loss is equal to the power used in
• China’s interest in climate change has waned the whole of Chile and it illustrates the scope of the
in recent years, due to the slowing down of economic disruption caused by the outbreak. The reduction
growth and the US withdrawal from the Paris is the energy equivalent of about 30 million tons
agreement. The 2020 public commitment on carbon of thermal coal or about 9 million tons of liquefied
neutrality has reignited hopes for China’s climate natural gas (LNG), IHS said. The coal figure is more
action. China’s 14th five-year plan (FYP), setting out than China's average monthly imports last year
its national goals for 2021-2025, will arguably be one while the LNG figure is a little more than one month
of the world’s most important documents for global of imports. Industrial users in 2019 consumed 4.85
efforts to tackle climate change. trillion kWh electricity, accounting for 67% of the
country's total. Industrial operating rates point to a
• Developing cheap solar and wind energy to firm reduction in power consumption in China (Xu
replace fossil energy has become the core energy and Munroe).
strategy of China to reduce air pollution. China is
leaning towards utilizing wind and solar power, Background
something that will alter the country's strategy on
mega-dam projects. In global energy rankings, one country stands
out. China is the world’s hungriest consumer
• More than 400 wind power companies of energy worldwide — demanding the energy
signed a joint declaration calling for annual wind equivalent of almost 3.3 billion tons of oil in 2019.
power capacity additions of 50-60GW to help Since 2011, it has burnt more coal than all other
China reach carbon neutrality by 2060. With the countries combined. And its reliance on this fossil
pandemic and the climate crisis still raging, China fuel adds up: China emits around one-quarter of the
has been steadily building up its wind warms over world’s greenhouse gases, the largest share of any
land and sea. The coronavirus has impacted 10% country. But these figures are only part of the story.
of new capacity additions in 2020. However, the China is also the world’s most prolific producer of
bigger challenge for wind developers is the looming wind energy, with the capacity to make more than
deadline for the termination of national subsidies twice as much as the second-largest generator, the
by the end of the year. US. And it has about one-third of the world’s solar-
generation capacity, building more systems in 2019
• The NEA has reportedly ascertained 47 GW than any other country.
of grid availability for solar in 2020.
China’s surprising pledge in September 2020
Covid-19 Repercussions to cut its net carbon emissions to zero within 40
years has reignited hopes of limiting global climate
China's industrial power demand in 2020 change to tolerable levels. The country is the
declined by as much as 73 billion kilowatt hours world’s largest producer of carbon dioxide (CO2),
(kWh), as the outbreak of the coronavirus curtailed accounting for 28% of global emissions, and its
factory output and prevented some workers from move may inspire other countries to follow suit.
returning to their jobs. The cut represents about But observers warn that China faces daunting
1.5% of industrial power consumption in China. challenges in reaching its goals. Kicking its coal
356
2.7 Electricity Generation
Key Take-Aways But, as the country is the world's biggest electricity
consumer, the loss is equal to the power used in
• China’s interest in climate change has waned the whole of Chile and it illustrates the scope of the
in recent years, due to the slowing down of economic disruption caused by the outbreak. The reduction
growth and the US withdrawal from the Paris is the energy equivalent of about 30 million tons
agreement. The 2020 public commitment on carbon of thermal coal or about 9 million tons of liquefied
neutrality has reignited hopes for China’s climate natural gas (LNG), IHS said. The coal figure is more
action. China’s 14th five-year plan (FYP), setting out than China's average monthly imports last year
its national goals for 2021-2025, will arguably be one while the LNG figure is a little more than one month
of the world’s most important documents for global of imports. Industrial users in 2019 consumed 4.85
efforts to tackle climate change. trillion kWh electricity, accounting for 67% of the
country's total. Industrial operating rates point to a
• Developing cheap solar and wind energy to firm reduction in power consumption in China (Xu
replace fossil energy has become the core energy and Munroe).
strategy of China to reduce air pollution. China is
leaning towards utilizing wind and solar power, Background
something that will alter the country's strategy on
mega-dam projects. In global energy rankings, one country stands
out. China is the world’s hungriest consumer
• More than 400 wind power companies of energy worldwide — demanding the energy
signed a joint declaration calling for annual wind equivalent of almost 3.3 billion tons of oil in 2019.
power capacity additions of 50-60GW to help Since 2011, it has burnt more coal than all other
China reach carbon neutrality by 2060. With the countries combined. And its reliance on this fossil
pandemic and the climate crisis still raging, China fuel adds up: China emits around one-quarter of the
has been steadily building up its wind warms over world’s greenhouse gases, the largest share of any
land and sea. The coronavirus has impacted 10% country. But these figures are only part of the story.
of new capacity additions in 2020. However, the China is also the world’s most prolific producer of
bigger challenge for wind developers is the looming wind energy, with the capacity to make more than
deadline for the termination of national subsidies twice as much as the second-largest generator, the
by the end of the year. US. And it has about one-third of the world’s solar-
generation capacity, building more systems in 2019
• The NEA has reportedly ascertained 47 GW than any other country.
of grid availability for solar in 2020.
China’s surprising pledge in September 2020
Covid-19 Repercussions to cut its net carbon emissions to zero within 40
years has reignited hopes of limiting global climate
China's industrial power demand in 2020 change to tolerable levels. The country is the
declined by as much as 73 billion kilowatt hours world’s largest producer of carbon dioxide (CO2),
(kWh), as the outbreak of the coronavirus curtailed accounting for 28% of global emissions, and its
factory output and prevented some workers from move may inspire other countries to follow suit.
returning to their jobs. The cut represents about But observers warn that China faces daunting
1.5% of industrial power consumption in China. challenges in reaching its goals. Kicking its coal
356
