SCIO briefing on white paper on energy in China's new era
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E-mail China.org.cn, December 26, 2020
Zhang Jianhua:
Ladies, gentlemen, friends, good afternoon. I am very pleased to meet you here to release and introduce the white paper Energy in Chinas New Era. First of all, I would like to thank you for your interest in and support for Chinas energy development.
Since the 18th CPC National Congress, looking toward the development requirements for the new era, President Xi Jinping put forward a new energy security strategy featuring Four Reforms and One Cooperation. He personally guided the promotion of reforms to improve energy consumption and the supply structure, to upgrade energy technologies, and to optimize the energy system. He stressed comprehensive cooperation with other countries and the promotion of a system of clean, low-carbon, safe and efficient energy, which has brought Chinas energy development into a new, high-quality development stage. The white paper illustrates Chinas historic achievements in advancing energy reforms since the 18th CPC National Congress, and provides a full picture of Chinas major policies and measures concerning its energy security development strategy in the new era and new stage. It aims to help people at home and abroad fully understand Chinas energy policies and development. The white paper focuses on the following five aspects:
First, it introduces Chinas energy development strategy and policies in the new era. Under the guidance of the new energy security strategy, we have promoted energy consumption reform, resolutely controlled total energy consumption, highlighted energy conservation throughout the entire process and various fields of social and economic development, and accelerated the move toward an energy-saving society. We have enacted reforms to build a more diversified energy supply structure featuring an increased share of non-fossil energy and coal, oil as well as gas as the basic energy sources. Working toward green and low-carbon development, we have fostered innovation in technology, industry and business models and promoted reforms to improve energy technologies to upgrade the industry. We have carried out reforms to optimize the energy system to build an effectively competitive market structure and market system and modernize the law-based energy governance system. We have strengthened international energy cooperation across the board to realize energy security in an open environment, and joined other countries in pursuing sustainable energy. China upholds the vision of innovative, coordinated, green, open and shared development. Chinas energy policies have the following features: First, we are adhering to a people-centered approach and prioritizing providing energy for the people; Second, we are promoting clean and low-carbon energy, accelerating the transformation toward green and low-carbon development, and increasing the proportion of clean energy and non-fossil energy at the consumption stage; Third, we are ensuring the core status of innovation, actively promoting independent innovation in energy technologies, and promoting breakthroughs in key technologies in the energy field and technological progress in the industrial chain at the same time; Fourth, we are pursuing development through reform, building a high-quality energy market system, and continuously unleashing market vitality; Fifth, we are working to build a global community with a shared future. China advocates greater international cooperation on energy governance and energy reform directed toward clean and low-carbon development. China has joined other countries in building a clean and beautiful world.
Second, the white paper introduces the historic achievements of Chinas energy development in the new era. Since the 18th CPC National Congress, major changes have taken place in the production and use of energy and a diversified energy production infrastructure is now in place. We have also promoted energy conservation. China saw an average annual growth of 7% in the economy, while annual energy consumption rose by only 2.8%. The consumption of clean energy accounted for 23.4% of total energy consumption, representing an increase of 8.9 percentage points over 2012. The cumulative installed capacities of hydropower, wind power and solar photovoltaic (PV) power each rank No. 1 in the world. We have complete industrial chains for the manufacturing of clean energy equipment for hydro, nuclear, wind and solar power, which supports the development and utilization of clean energy. Green development of the energy sector has played an important role in reducing carbon emissions. By 2019, carbon emission intensity in China had decreased by 48.1% compared with 2005, which exceeded the target set in 2015 of reducing carbon emission intensity by 40%-45% ahead of schedule.
Third, the white paper introduces the major measures China has taken to build a clean, low-carbon, safe and efficient energy system. China has made comprehensive efforts to reform energy consumption and put in place a dual control system of total energy consumption and energy intensity. It has improved laws, regulations and standards for energy conservation, and relevant incentives. China has accelerated energy efficiency improvements in key areas and promoted clean final energy consumption. It has accelerated the building of a clean and diversified energy supply system, prioritizing non-fossil energy and promoting the clean and efficient development and utilization of fossil energy. China has improved its energy storage, transportation and peak shaving system, and strengthened its capacity to ensure energy security. It has leveraged the role of innovation as the primary driver of development and improved energy policies relating to scientific and technological innovation. Diverse platforms for technological innovation in energy at various levels have been created. China has promoted coordinated scientific and technological innovation in key areas of the energy sector, and supported the development of new technologies and new business forms and models to develop energy technologies. It has deepened reforms of the energy system in all areas and created an energy market with effective competition. The market-based mechanism for deciding energy prices has been improved. China has extended reforms in the energy sector to delegate powers, improve regulation and upgrade services. It has also improved the rule of law and governance mechanism in the energy sector.
Fourth, the white paper introduces the measures and achievements in carrying out targeted poverty alleviation through energy projects and ensuring energy supply for peoples daily life. The primary goal for Chinas energy development is to ensure and improve energy supply for peoples life, especially for those living in poverty. China has ramped up efforts to support construction of energy projects in rural poverty-stricken areas. It has implemented programs to renovate and upgrade power grids and supplied poor villages with electricity for industrial and commercial use. China implemented a three-year action plan to ensure access to power for people without electricity, and achieved this goal by the end of 2015. China prioritizes poverty-stricken areas in planning energy development projects for the benefit of local economic development. It has adopted major projects such as poverty alleviation projects based on solar PV power generation to increase the income of impoverished households. China has actively promoted the use of clean energy for heating in rural areas in the north of the country to improve the environment and peoples everyday life.
Fifth, the white paper introduces the new model for international energy cooperation across the board. China is committed to opening its energy sector wider to the world, and has reduced restrictions on access to the energy sector for foreign investment. For example, in 2019, China removed restrictions for foreign investment into the oil and gas exploration and development sectors. It has established comprehensive energy cooperation based on mutual benefits and win-win results. Solid progress has been made in building a silk road with green energy. It has been actively participating in global energy governance and joined hands with other countries to tackle climate change. China proposed that the international community should jointly promote the transition to green and low-carbon energy, jointly consolidate multilateral energy cooperation, jointly facilitate international investment in energy trading, jointly improve energy access in underdeveloped areas, and jointly promote the sustainable development of global energy and maintain global energy security.
We hope that the white paper will help people understand the huge efforts that China has made in promoting the transition to green and low-carbon energy and its contributions to global efforts in tackling climate change and promoting sustainable energy development. At the general debates of the 75th U.N. General Assembly in September 2020, President Xi Jinping pledged that China will strive to have carbon dioxide emissions peak before 2030 and achieve carbon neutrality before 2060. In December, President Xi announced further commitments for 2030 at the Climate Ambition Summit: China will lower its carbon dioxide emissions per unit of GDP by over 65% from the 2005 level, increase the share of non-fossil fuels in primary energy consumption to around 25%, and raise the total installed capacity of wind and solar power to over 1.2 billion kilowatts. This sets a new direction for China's energy development. We will work with firmer resolve and put in more efforts to carry out the energy revolution. We will move faster to create a clean, low-carbon, safe and efficient energy system to support the Beautiful China initiative and make greater contributions to building a clean and beautiful world.
That concludes my brief introduction. Thank you. Now my colleagues and I are happy to answer any questions.
Hu Kaihong:
Thank you, Mr. Zhang. Now I will open up the floor for questions.
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