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Clean Energy and Energy Saving Policies in China

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Issues Decisive for China’s Rise or Fall

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Abstract

When the Chinese government announced its plan to get 20% of China's energy from renewable sources by 2030, many were still in doubt of its commitment. After keeping the faith solely in economic growth for so many decades, it is hard to believe that China’s elite group can make a fast transition. However, resent reports on renewable surge in China may well illustrate the country’s determination on this account. The atrocious state of environment, as well as the concerns of energy security and economic development in the medium and longer run has prompted Chinese policy makers to carry out an energy revolution. The Chinese see this move as a chance of escaping the fossil fuel-reliance that saddled earlier industrial countries and a key for attaining sustainable development.

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Notes

  1. 1.

    The Development and Reform Commission of the People’s Republic of China & National Energy Administration of the People’s Republic of China, Energy Production and Consumption Revolution Strategy 2016–2030 (December 2016).

  2. 2.

    Beth Gardiner, “Three Reasons to Believe in China’s Renewable Energy Boom”, National Geographic (May 12, 2017). http://news.nationalgeographic.com/2017/05/china-renewables-energy-climate-change-pollution -environment/.

  3. 3.

    The 7 day trial was part of a test conducted by the State Grid Corporation of China, which aims to test the viability of relying on renewables long-term. During the period, the province generated 1.1 billion kilowatt hours of energy for over 5.6 million residents. That’s equal to burning 535,000 tons of coal. Eanna Garfield, “An Entire Region of China Just Ran on 100% Renewable Energy for 7 days”, Business Insider Australia (June 28, 2017), https://www.businessinsider.com.au/china-renewable-energy-qinghai-province-2017-6?r=US&IR=T.

  4. 4.

    Editor, “China to spend $493 billion on green power by 2020”, ABC News (5 January 2017). http://www.abc.net.au/news/2017-01-05/china-to-spend-$493-billion-on-renewable-fuel-by-2020/8164434.

  5. 5.

    See John A Mathews and Hao Tan, China’s Renewable Energy Revolution (Palgrave Macmillan, Basingstoke, 2015), p. 7.

  6. 6.

    For instance, the Twelfth Five-Year Plan for the Development of New Energy and Renewable Energy Industries 2003; the Renewable Energy Law of the People’s Republic of China; and Yan Wei, “What China can learn from the Clean Energy Legislative Experience of the United States”, Essay Association, http://www.lwlm.com/qitafaxuelunwen/201207/659415.htm.

  7. 7.

    Editor, “Clean Energy”, Baidu Encyclopedia (The definition provided is reviewed by Science Popularization of China). https://baike.baidu.com/item/%E6%B8%85%E6%B4%81%E8%83%BD%E6%BA%90/22708?fr=aladdin.

  8. 8.

    Ibid.

  9. 9.

    For instance, most popular books and articles on new energy all use “renewable”, such as Renewable Energy : Power for a Sustainable Future (Godfrey Boyle, Oxford University Press, 2012); Energy Systems and Sustainability (Godfrey Boyle, Oxford University Press, 2012); Renewable: The World-Changing Power of Alternative Energy (Jeremy Shere, St. Martin’s Press, 2013); Renewable Energy: A First Course (Robert Ehrilich, CRC Press, 2013); Renewable Energy: Sustainable Energy Concepts for the Energy Change (Roland Wengenmayr and Thomas Bührke eds, Wiley-VCH, 2012); and Introduction to Renewable Energy (Vaughn Nelson, CRC Press, 2011).

  10. 10.

    See Robert Ehrilich, Renewable Energy : A First Course (CRC Press, London-New York, 2013), pp. 13–14.

  11. 11.

    Ibid.

  12. 12.

    See Jeremy Shere, supra note 9.

  13. 13.

    For instance, Open (a global finance company offering investment in cleantech projects and business), Living Clean (webpage of Double Helix Water), and Heinrich Böll Foundation (a think tank for policy reform, and an international network, focusing on green visions and project).

  14. 14.

    See Jeremy Shere, supra note 9.

  15. 15.

    See Editor, “Alternative, Clean, Cleantech, Green or Renewable Energy ” (May 31, 2016) Open Cleantech. http://resources.opencleantech.com/our-blog/alternative-clean-cleantech-green-or-renewable-energy-whats-the-difference; See also Editor, “Is Renewable Energy Sustainable?”, Conserve Energy Future. http://www.conserve-energy-future.com/isrenewableenergysustainable.php.

  16. 16.

    Craig Morris, “Clean energy or renewable energy? The label matters!”, Energy Transition: The Global Energiewende (January 30, 2017). https://energytransition.org/2017/01/clean-energy-or-renewable-energy-the-label-matters/.

  17. 17.

    Ibid.

  18. 18.

    Editor, “Renewable Energy ”, Science Daily (Reference Terms), https://www.sciencedaily.com/terms/renewable_energy.htm.

  19. 19.

    See Mohsen Rezaei et al., “The Role of Renewable Energies in Sustainable Development : Case Study Iran” 4 (4) Iranica Journal of Energy and Environment (2013) 321. See also Ibrahim Dincer, “Renewable Energy and Sustainable Development: A Crucial Review” 4 (2) Renewable and Sustainable Energy Reviews (2000) 157.

  20. 20.

    John A Mathews and Hao Tan, “Economics: Manufacture Renewables to Build energy Security ” 513 (7517) Nature (International Weekly Journal of Science, September 10, 2014) 166. See also John A Mathews, “China’s Continuing Renewable Energy Revolution —Latest Trends in Electric Power Generation” 14 (17) The Asian-Pacific Journal (Number 6, 2016), http://www.globalresearch.ca/chinas-continuing-renewable-energy-revolution-latest-trends-in-electric-power-generation/5544184.

  21. 21.

    Mathews and Hao, ibid.

  22. 22.

    Ibid.

  23. 23.

    See Amy Bainbridge, “China’s coal use likely peaked in 2013 amid rapid shift to renewables, global energy report says”, ABC Net News (November 17, 2016), http://www.abc.net.au/news/2016-11-16/china27s-coal-use-peaked-in-20132c-report-says/8030428.

  24. 24.

    John A Mathews and Hao Tan, “China’s Renewable Energy Revolution : What Is Driving It?”, Global Research (November 17, 2014), http://www.globalresearch.ca/chinas-renewable-energy-revolution-what-is-driving-it/5414533.

  25. 25.

    Energy Brainpool GmbH & Co. KG, “Power statistics China 2016: Huge growth of renewables amidst thermal-based generation”, Energy BrainBlog (February 9, 2017), https://blog.energybrainpool.com/en/power-statistics-china-2016-huge-growth-of-renewables-amidst-thermal-based-generation/.

  26. 26.

    Ibid.

  27. 27.

    John Mathews, “China’s continuing renewable energy revolution —can it save the world?”, Energy Post (September 13, 2016), http://energypost.eu/chinas-continuing-renewable-energy-revolution-can-save-world/.

  28. 28.

    See David Crossley, “Energy Efficiency in China”, Climate Spectator (13, 14 and 15 February 2013), https://www.raponline.org/wp-content/uploads/2016/05/crossley-energyefficiencyinchina-climatespectator-2013-feb-08.pdf.

  29. 29.

    Editor, “Bringing China’s Energy Efficiency Experience to the World: Knowledge Exchange with Asian Countries”, The World Bank (June 27, 2014), http://www.worldbank.org/en/news/feature/2014/06/27/bringing-chinas-energy-efficiency-experience-to-the-world-knowledge-exchange-with-asian-countries.

  30. 30.

    Articles 5, 10, 13 and 14 of the Energy Conservation Law of the People’s Republic of China 1979 (amended in 2007 and 2016).

  31. 31.

    Ibid, art. 15.

  32. 32.

    Ibid, art. 68.

  33. 33.

    Mark D Levine et al., “The Greening of the Middle Kingdom: The Story of Energy Efficiency in China” 39 (2) Energy Efficiency (2009) 12–13. https://pubarchive.lbl.gov/islandora/object/ir%3A153485/datastream/PDF/view.

  34. 34.

    Ibid, 13–14.

  35. 35.

    Nan Zhou et al., “Overview of Current Energy Efficiency Policies in China” 38 (8) Energy Policy (2010) 26.

  36. 36.

    Ibid, 26–27.

  37. 37.

    Editor, “China’s energy intensity falling fast”, China Daily (March 5, 2016). http://www.chinadaily.com.cn/business/2016-03/05/content_23748313.htm; and Editor, “China’s energy intensity down 3.8% in Q1”, China Daily (April 17, 2017). http://www.chinadaily.com.cn/business/2017-04/17/content_28959957.htm.

  38. 38.

    Since carbon dioxide from fossil fuel burning is the major air pollutant and a main driver to climate change, in Chinese literature, the terms “carbon trade ” and “carbon emissions” are used interchangeably with “greenhouse gas trade” and “greenhouse gas emissions”. This also happens to some English publications. For instance, Anita Talberg and Kai Swoboda, Parliament of Australia, “Emissions trading schemes around the world”, Research Publications, Parliament of Australia (June 6, 2013).

  39. 39.

    IPCC, “Organization”, IPCC website. https://www.ipcc.ch/organization/organization.shtml.

  40. 40.

    See Working Group I, Climate Change: The IPCC Scientific Assessment (Cambridge University Press, Cambridge-New York, 1990) 233.

  41. 41.

    The Conference is also known as the Rio de Janeiro Earth Summit, Rio Summit, Rio Conference, and Earth Summit.

  42. 42.

    Art. 2 of the United Nations Framework Convention on Climate Change, 1771 UNTS 107 / [1994] ATS 2/31 ILM 849 (1992).

  43. 43.

    See Union of Concerned Scientists (Science for a Healthy Planet and Safer World), “The IPCC: Who Are They and Why Do Their Climate Reports Matter?” http://www.ucsusa.org/global_warming/science_and_impacts/science/ipcc-backgrounder.html#.WZ5Mk1WGPIU.

  44. 44.

    The list of countries that are subject to the binding obligations is in Annex B of the Kyoto Protocol , and such a country is therefore also called an Annex B Party.

  45. 45.

    See Tuula Honkonen, The Common but Differentiated Responsibility Principle in Multilateral Environmental Agreements: Regulatory and Policy Aspects (Kluwer Law International, the Netherlands, 2009), pp. 69–81.

  46. 46.

    See Michele Stua, From the Paris Agreement to a Low-Carbon Bretton Woods: Rationale for the Establishment of A Mitigation Alliance (Springer, Cham, Switzerland, 2017), p. 80.

  47. 47.

    Article 12 of the Kyoto Protocol to the United Nations Framework Convention on Climate Change, UN Doc FCCC/CP/1997/7/Add.1, Dec. 10, 1997; 37 ILM 22 (1998).

  48. 48.

    Ibid, art. 6.

  49. 49.

    Ibid, art. 17.

  50. 50.

    See Albert Mumma and David Hodas, “Designing a Global Post-Kyoto Climate Change Protocol that Advances Human Development” (Widener Law School Legal Studies Research Paper Series No. 08–67) 5, available at file:///C:/Users/Peter/Downloads/climate-conf-mumma-and-hodas.pdf.

  51. 51.

    Ibid, 6.

  52. 52.

    See Jennifer Duggan, “China makes carbon pledge ahead of Paris climate change summit”, The Guardian (June 30, 2015). https://www.theguardian.com/environment/2015/jun/30/china-carbon-emissions-2030-premier-li-keqiang-un-paris-climate-change-summit.

  53. 53.

    Ronald H Coase, “The Problem of Social Cost” 3 The Journal of Law and Economics (1960) 1–44.

  54. 54.

    See Arthur Cecil Pigou, The Economics of Welfare (Palgrave Macmillan, London, 1932). Pigou suggested imposing tax levies on polluters and subsidizing victims.

  55. 55.

    Coase, supra note 53.

  56. 56.

    Ibid; see also Raphael Calel, “Carbon markets: A Historical Overview” 4 (2) Wiley Interdisciplinary Reviews: Climate Change (2013) 107–108; see also Environmental Justice Organisations, Liabilities and Trade, “Coasian Bargaining”. http://www.ejolt.org/2015/09/coasian-bargaining-2/.

  57. 57.

    Richard Eckard, “Emissions Trading—a challenge or opportunity for the Dairy Industry?” Proceedings of the Australian Dairy Conference (Launceston, Tasmania, February 2008), available at http://www.greenhouse.unimelb.edu.au/pdf_files/ADC08EmissionsTrading.pdf.

  58. 58.

    See A Denny Ellerman and Barbara K Buchner, “The European Union Emissions Trading Scheme: Origins, Allocation, and Early Results” 1 (1) Review of Environmental Economics and Policy (2007) 66–87.

  59. 59.

    European Commission, “The EU Emissions Trading System (EU ETS)” (August 25, 2017), https://ec.europa.eu/clima/policies/ets_en.

  60. 60.

    Anita Talberg and Kai Swoboda, Emissions trading schemes around the world (Research Publications, Parliament of Australia, June 6, 2013), http://www.aph.gov.au/About_Parliament/Parliamentary_Departments/Parliamentary_Library/pubs/BN/2012-2013/EmissionsTradingSchemes.

  61. 61.

    Institute for Energy Research, “China’s Renewable Industry Still Getting CDM-Funded Projects” IER Latest Analysis (July 23, 2012). http://instituteforenergyresearch.org/analysis/chinas-renewable-industry-still-getting-cdm-funded-projects/. See also Wei Wang, “Interpreting the Two Courses of China’s Carbon Market”, China’s Carbon Trading Network (November 26, 2013). http://www.tanpaifang.com/tanguwen/2013/1126/26334.html.

  62. 62.

    Jeff Swartz, China’s National Emissions Trading System: Implications for Carbon Markets and Trade (International Centre for Trade and Sustainable Development Series on Climate Change Architecture, Issue Paper No. 6) 12, electronic version available at http://www.ieta.org/resources/China/Chinas_National_ETS_Implications_for_Carbon_Markets_and_Trade_ICTSD_March2016_Jeff_Swartz.pdf.

  63. 63.

    Marion Afriat and Jeff Swartz, China: An Emissions Trading Case Study (IETA and CDC Case Study, March 2015) 1, available at http://www.ieta.org/resources/Resources/Case_Studies_Worlds_Carbon_Markets/china-emissions-trading-case%20study_cdc_climat_ieta%20march_2015.pdf.

  64. 64.

    Ibid. See also Josh Margolis, Daniel Dudek and Anders Hove, Rolling out a Successful Carbon Trading System (Paulson Dialogue Papers, Paulson Institute, September 2015) 14.

  65. 65.

    The National Development and Reform Commission of the People’s Republic of China, Provisional Measures for the Administration of Carbon Emission Rights Trading (2014), arts. 16, 17 and 24.

  66. 66.

    See Reed Smith, “China outlines plans for its carbon trading markets”, Lexology (February 20, 2015), https://www.lexology.com/library/detail.aspx?g=e22b4899-aed0-45fb-8d63-16d1d6e76393.

  67. 67.

    Swartz, supra note 62, at 1.

  68. 68.

    Afriat and Swartz, supra note 63, at 12; see also Smith, supra note 66.

  69. 69.

    Ibid.

  70. 70.

    Ibid.

  71. 71.

    The National Development and Reform Commission of the People’s Republic of China, Market Readiness Proposal (MRP): Establishing a National Emissions Trading Scheme in China (February 2013), http://www.thepmr.org/system/files/documents/China_MRP_final_19-02-2013rev_0.pdf.

  72. 72.

    Ibid, at 235.

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    Yuwa Wei

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Wei, Y. (2019). Clean Energy and Energy Saving Policies in China. In: Issues Decisive for China’s Rise or Fall. Springer, Singapore. https://doi.org/10.1007/978-981-13-3699-7_7

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