China’s Route to Carbon Neutrality: Perspectives and the Role of Renewables
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China’s Route to Carbon Neutrality - International Renewable Energy Agency IRENA
© IRENA 2022
Unless otherwise stated, material in this publication may be freely used, shared, copied, reproduced, printed and/or stored, provided that appropriate acknowledgement is given of IRENA as the source and copyright holder. Material in this publication that is attributed to third parties may be subject to separate terms of use and restrictions, and appropriate permissions from these third parties may need to be secured before any use of such material.
ISBN: 978-92-9260-449-3
eBook ISBN: 978-92-9260-513-1
IRENA (2022), China’s route to carbon neutrality: Perspectives and the role of renewables, International Renewable Energy Agency, Abu Dhabi.
About IRENA
The International Renewable Energy Agency (IRENA) serves as the principal platform for international co-operation, a centre of excellence, a repository of policy, technology, resource and financial knowledge, and a driver of action on the ground to advance the transformation of the global energy system. An intergovernmental organisation established in 2011, IRENA promotes the widespread adoption and sustainable use of all forms of renewable energy, including bioenergy, geothermal, hydropower, ocean, solar and wind energy, in the pursuit of sustainable development, energy access, energy security and low-carbon economic growth and prosperity. www.irena.org
Acknowledgements
IRENA would like to express sincere appreciation to the experts who reviewed the report. Insightful comments and constructive suggestions were provided by the Energy Research Institute of the Academy of Macroeconomic Research, China.
Special thanks go to Paul Komor, who provided helpful feedback and advice.
IRENA colleagues Herib Blanco, Seungwoo Kang, Martina Lyons, Daniel Russo, Francisco Boshell, Carlos Fernandez, Faran Rana and Jinlei Feng provided valuable reviews and input.
Contributing authors
This report was prepared, under the guidance of Dolf Gielen (Director, IRENA Innovation and Technology Centre) by Paul Durrant (former IRENA staff), Nicholas Wagner, Yong Chen (IRENA) and Yufeng Yang (consultant).
Disclaimer
This publication and the material herein are provided as is
. All reasonable precautions have been taken by IRENA to verify the reliability of the material in this publication. However, neither IRENA nor any of its officials, agents, data or other third-party content providers provides a warranty of any kind, either expressed or implied, and they accept no responsibility or liability for any consequence of use of the publication or material herein.
The information contained herein does not necessarily represent the views of all Members of IRENA. The mention of specific companies or certain projects or products does not imply that they are endorsed or recommended by IRENA in preference to others of a similar nature that are not mentioned. The designations employed, and the presentation of material herein, do not imply the expression of any opinion on the part of IRENA concerning the legal status of any region, country, territory, city or area or of its authorities, or concerning the delimitation of frontiers or boundaries.
CONTENTS
ABBREVIATIONS
EXECUTIVE SUMMARY
IRENA’s technology-focused analysis
Areas for action and initial recommendations
1. CHINA’S CARBON DIOXIDE EMISSION GOALS IN THE GLOBAL CONTEXT
1.1 Global context
1.2 China’s unique characteristics
2. SHAPING A STRATEGY FOR THE 2020s AND BEYOND
2.1 Developing and delivering an integrated long-term energy plan
2.2 Maintaining energy efficiency improvements as a priority
2.3 Accelerating the phase-down of coal consumption
2.4 Accelerating the transition towards renewable power
2.5 Reforming power networks
2.6 Increasing the electrification of end-use sectors
2.7 Expanding the direct use of renewables, particularly biomass for energy purposes
2.8 Scaling up the production and use of hydrogen and synthetic fuels
2.9 Supporting cities as champions of low-carbon living
2.10 Continuing progress in light-duty transport and broadening to heavy-duty and long-haul modes
2.11 Laying the groundwork for industrial sectors to achieve net zero emissions
2.12 Continuing to support technology RD&D and broader systemic innovation
2.13 Deepening global engagement
3. CONCLUSIONS AND AREAS FOR FURTHER WORK
REFERENCES
Figures
FIGURE 1 Emerging innovations for the integration of variable renewable electricity – enabling technologies, market design, business models, system operation
FIGURE 2 Electrification rate in final energy consumption (a), transport (b) and residential buildings (c) by country, 1980-2017
FIGURE 3 Hydrogen production costs, 2020-2050
FIGURE 4 Chinese industrial CO 2 emissions by sector, 2020-2050 (Reference case)
Boxes
BOX 1 CDR measures and CCUS for power and industrial processes
BOX 2 Chinese city case study: Urban energy transformation in Zhangjiakou
ABBREVIATIONS
EXECUTIVE SUMMARY
In September 2020, Chinese President Xi Jinping announced at the 75th Session of the United Nations General Assembly that China would aim for a peak in its carbon dioxide (CO2) emissions before 2030 and to achieve carbon neutrality by 2060. The implications of these announcements will be profound and will require changes in almost every aspect of how the country consumes energy and produces goods. Forty years is a short period to complete such a major transformation, and although many building blocks exist, many of the details of how to deliver such a change remain unclear. Substantial analysis, careful planning and co-ordinated effort will be needed in the next few years to shape the path to 2060.
China’s scale and the need to balance economic development with emission reductions present a challenge in its transition to net zero. Over the past decade, the country has been top ranked in global energy production and consumption. China’s energy-related CO2 emissions have been trending upward to reach 28% of the global total in 2019, according to emission data from the International Energy Agency. At the same time, China has been a key driver of the growth in renewable energy generation capacity, accounting for 34-53% of the global annual growth over the period