The costs for solar photovoltaics, wind, and battery storage have dropped markedly since 2010, however, many recent studies and reports around the world have not adequately captured such dramatic decrease. Those costs are projected to decline further in the near future, bringing new prospects for the widespread penetration of renewables and extensive power-sector decarbonization that previous policy discussions did not fully consider. Here we show if cost trends for renewables continue, 62% of China's electricity could come from nonfossil sources by 2030 at a cost that is 11% lower than achieved through a business-as-usual approach. Further, China's power sector could cut half of its 2015 carbon emissions at a cost about 6% lower compared to business-as-usual conditions.
China's 11th Five-Year Plan (FYP) sets an ambitious target for energy-efficiency improvement: energy intensity of the country's gross domestic product (GDP) should be reduced by 20 % from 2005 to 2010 (NDRC, 2006). This is the first time that a quantitative and binding target has been set for energy efficiency, and signals a major shift in China's strategic thinking about its long-term economic and energy development. The 20% energy intensity target also translates into an annual reduction of over 1.5 billion tons of CO2 by 2010, making the Chinese effort one of most significant carbon mitigation effort in the world today. While it is still too early to tell whether China will achieve this target, this paper attempts to understand the trend in energy intensity in China and to explore a variety of options toward meeting the 20 % target using a detailed end-use energy model.
Summary
As the world's largest coal producer and consumer, China's transition from coal to cleaner energy sources is critical for achieving global decarbonization. Increasing regulations on air pollution and carbon emissions and decreasing costs of renewables drive China's transition away from coal; however, this transition also has implications for employment and social justice. Here, we assess China's current coal-transition policies, their barriers, and the potential for an accelerated transition, as well as the associated environmental, human health, and employment and social justice issues that may arise from the transition. We estimate that the most aggressive coal-transition pathway could reduce annual premature death related to coal combustion by 224,000 and reduce annual water consumption by 4.3 billion m
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in 2050 compared with business-as-usual. We highlight knowledge gaps and conclude with policy recommendations for an integrated approach to facilitate a rapid and just transition away from coal in China.
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