China sets aggressive pace

World Future Energy Summit: The Chinese Premier Wen Jiabao launched a robust defence of his country's green credentials

epa03062021 Wen Jiabao (L), Premier and Party secretary of the State Council of the People's Republic of China gives a speech during the opening ceremony of the World Future Energy Summit (WFES) 2012 Show more

China will rely on renewable power to supply more than 11 per cent of its energy within three years, the Chinese premier said yesterday.

The aggressive target for the world's most populous nation, which has been criticised for not doing enough to curb carbon emissions, compares with 7 per cent for Abu Dhabi by 2020.

"Exploitation and utilisation of traditional fossil fuel has posed serious challenges to the sustainable development of mankind," Wen Jiabao said in a keynote speech at the World Future Energy Summit in Abu Dhabi.

Renewables accounted for 8.3 per cent of China's energy consumption in 2010, but pollution has emerged as one of the greatest challenges to the rapid economic rise of the country.

Mr Wen also detailed other government efforts to reduce emissions. In the past five years, China has shut down small-scale, coal-fired power plants that had produced a total of 80 gigawatts - "equivalent to the total installed capacity of a medium-sized European country" - the premier said.

The country now boasts a total of 200GW of hydropower, 47GW of wind energy and 3GW of solar capacity.

China has also pledged to reduce the carbon intensity of its economy by 17 per cent by 2015. The country's emission-reduction targets are not set in absolute terms, as some campaigners have demanded, but in relation to a unit of GDP.

The Chinese government also refused to sign up to binding agreements for reducing carbon emissions at climate talks held in Durban last month. Beijing's efforts to increase the role of renewables in China's energy mix are driven more by its desire to cut dependency on imported fossil fuels, experts say.

"The target owes more to China's attempts to diversify its energy supply rather than reduce carbon dioxide emissions," said Tom Grieder, an energy analyst at IHS World Markets Energy.

Whatever the motive, China's ambitions have provided a boost for a struggling industry.

"The targets are positive for the renewable energy sector especially in view of financial difficulties affecting more traditional markets in Europe," said Mr Grieder.

The creation of a huge solar photovoltaic-panel industry in China added to the woes of European producers, with panel prices halving over the course of last year alone.