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China Daily Website

Change in energy mix encouraging

Updated: 2013-11-19 01:53
By Zheng Yangpeng and Jiao Xiaoli ( China Daily)

The World Resources Institute launched a project named ChinaFAQs to provide insight into critical questions about Chinese policy and action on energy and climate change for US media, Congress and administration to raise their awareness of China's environmental endeavors, which is comprised of US-based experts and partner organizations.

Asked what prompted them to do so, Steer said that it was "because we believe that China has a huge amount to teach the world".

China's efforts have not been "adequately recognized" by the international community but the situation is improving, he said.

Still, China relies — for more than 70 percent of its energy consumption — on coal, and the country consumes almost half of the world's coal, a material that causes significant pollution and contributes to global warming due to carbon dioxide emissions.

In the future, Steer believes that it's necessary to reduce the share of coal in the energy mix, and this could start from ending subsidies on coal.

He said that some experts argue that a cleaner use of coal, rather than expanding renewable energy projects, is the solution.

"Climate change negotiations are going on in Warsaw, Poland. At the same time, the World Coal Association is having its annual meeting there, and they're putting out all their material saying the solution to climate change is clean coal. I just wrote an op-ed saying ‘no, that is not the case'. And I'm not alone."

Steer believes it's "not impossible" to get a much more rapid transition toward a different energy mix.

He pointed to a review by the International Monetary Fund, which found that global direct subsidies for fossil fuels amount to $523 billion every year, while there's only $88 billion a year to subsidize renewable energy projects.

"So what China needs to ask is: Are our policies helping to steer things toward renewables? The transition can't happen overnight, but you have to gradually move in that direction," he said.

Meanwhile, he expressed his concerns that China's huge environmental commitment could lose steam if the country's economic growth slows.

Steer added that the concern is legitimate: When you grow fast, you tend to have quite a bit of money, and you can spend it on really good things like subsidies for renewable energy, but what happens when growth falters?

There's no shortage of precedents: Spain — a world leader in renewable energy projects when its economy was booming — cut back all its subsidies for the sector when it entered a recession.

"So, the interesting question is: will you be able to be as aggressive in addressing environmental issues when growth slows? So far, all the messages from top leaders are yes," he said.

 

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