{"id":34108,"date":"2016-07-15T15:07:00","date_gmt":"2016-07-15T15:07:00","guid":{"rendered":""},"modified":"2020-10-08T16:28:23","modified_gmt":"2020-10-08T16:28:23","slug":"9108-china-moves-closer-to-emissions-plateau","status":"publish","type":"post","link":"https:\/\/dialogue.earth\/en\/climate\/9108-china-moves-closer-to-emissions-plateau\/","title":{"rendered":"China moves closer to \u201cemissions plateau\u201d"},"content":{"rendered":"<p>China\u2019s demand for fossil fuels, most notably coal, fell sharply in the first six months of this year, further evidence that moves to curb overcapacity and battle&nbsp;pollution are pushing China towards a much-vaunted peak in carbon emissions.<\/p>\n<p>Data from <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2016-07-15\/china-s-oil-coal-output-slides-in-sign-of-more-imports-to-come\">China\u2019s National Bureau of Statistics<\/a> (NBS), the country\u2019s top statistics agency, have long been closely-watched by those trying to work out whether China&#8217;s carbon emissions are about to level off.<\/p>\n<p>This is even more the case in the first year of China\u2019s <a href=\"https:\/\/www.chinadialogue.net\/article\/show\/single\/en\/8734-Climate-energy-and-China-s-13th-Five-Year-Plan-in-graphics\">13th Five Year Plan<\/a>, which runs from 2016 to 2020 and aims at \u201cgreener growth\u201d.<\/p>\n<p>However it is still far too early to tell whether the world\u2019s largest source of greenhouse gases can engineer a steep long-term decline after hitting an emissions peak expected within the next decade.<\/p>\n<p>The NBS data released today showed that coal output fell almost 10% from January to June, compared with the equivalent period in 2015, and a much faster fall compared with the first six months of last year.<\/p>\n<p>Earlier this year, China\u2019s central government <a href=\"https:\/\/www.reuters.com\/article\/china-coal-production-idUSL3N14Q1BP%20and%20ordered%20the%20rapid%20closure\">banned the construction of new mines<\/a> and ordered the rapid closure of <a href=\"https:\/\/www.reuters.com\/article\/us-china-energy-coal-idUSKCN0VV0U5\">older collieries<\/a> in a bid to rein in chronic overcapacity in the sector and put the country on a path to a peak in carbon emissions by 2030 or before.<\/p>\n<p>Weaker coal output was reflected in the latest&nbsp;figures on the amount of electricity generated from fossil fuels blamed most for climate change.<\/p>\n<p>NBS data showed that thermal power generation (including coal and gas-fired electricity) fell by 3.1% year-on-year in the first half of 2016, while hydro, nuclear, wind and solar power generation went up by 13.5%, 25%, 14% and 28% respectively.<\/p>\n<p>Moreover, the figures have again highlighted one of the major contradictions in the country\u2019s climate and energy policy, as <a href=\"https:\/\/www.chinadialogue.net\/blog\/9011-How-China-plans-to-curb-new-coal-fired-power-\/en\">new coal-fired power capacity<\/a> continues to get&nbsp;permits from provincial officials.&nbsp;<\/p>\n<p>\u201cChina still has enough coal-fired projects in the pipeline to keep adding one coal-fired power plant per week until 2020, potentially resulting in a total of 400,000MW of excess capacity,\u201d said Lauri Myllyvirta, &nbsp;<a href=\"https:\/\/www.linkedin.com\/title\/senior-global-campaigner%2C-coal-and-air-pollution?trk=mprofile_title\" target=\"_blank\" rel=\"noopener noreferrer\">a&nbsp;campaigner<\/a> with Greenpeace East Asia.<\/p>\n<p><a href=\"https:\/\/www.chinadialogue.net\/article\/show\/single\/en\/8965-Blowing-in-the-wind\">Preferential access<\/a> to the grid for large coal-fired plants, most of which are owned by China\u2019s big five utilities, has long been blamed for crowding out wind, hydro and solar.<\/p>\n<p>This has prompted central government to push for a fairer system so that China can increase the share of renewables in the energy mix, but so-called <a href=\"https:\/\/www.whitehouse.gov\/the-press-office\/2015\/09\/25\/us-china-joint-presidential-statement-climate-change\">green dispatch<\/a> is expected to be a slow, incremental process because of opposition from large power companies and the state grid.&nbsp;<\/p>\n<p>Access for renewables actually worsened this year, prompting lawsuits from China\u2019s huge wind energy industry and complaints from provinces that account for most of the country\u2019s turbines.&nbsp;<\/p>\n<p><strong>Gas v renewables<\/strong><\/p>\n<p>Quite when China peaks its energy-related greenhouse gas emissions will depend to a large extent to which renewables, rather than gas, replace coal.<\/p>\n<p>Natural gas accounts for around half of the carbon dioxide per unit of power generated compared with coal, and a huge increase in demand will offset some of the emissions savings from lower coal use, said Yang Fuqiang, senior adviser with the Natural Resource Defence Council.<\/p>\n<p>\u201cIf the decline of coal this year can offset increased carbon emissions from the growth of natural gas and oil, we will be more confident to say that China has entered an emissions plateau,\u201d he said in response to the NBS figures.<\/p>\n<p>China will triple its gas demand to 510 billion cubic metres (bcm) by 2030,&nbsp; rising to 710 bcm by 2050, the&nbsp;China National Petroleum Corporation said in a rare <a href=\"https:\/\/af.reuters.com\/article\/energyOilNews\/idAFL4N19Y338\">long term energy outlook<\/a> published this week.<\/p>\n<p>Meanwhile, Yang adds that a peak in coal use will require any rebound&nbsp;in heavy industry to be moderate, particularly in industries such as steel, metals, cement, materials and chemicals, which account for almost half of China\u2019s coal demand.<\/p>\n<p><strong>Structural shift<\/strong><\/p>\n<p>However the data released today does suggest structural changes in the Chinese economy, and decoupling energy demand from economic growth, &nbsp;are starting to take effect, one of the main intentions of the current <a href=\"https:\/\/www.chinadialogue.net\/reports\/9048-13th-Five-Year-Plan-in-Focus-\/en\">FYP<\/a>.<\/p>\n<p>China\u2019s power consumption was up 2.7% year-on-year in the first six months of 2016, compared with overall economic growth of 6.7% during the same period.<\/p>\n<p>Electricity consumption by the manufacturing sector rose&nbsp;by only 0.5%, said the NBS, reflecting large-scale shutdowns of inefficient and unneeded capacity.<\/p>\n<p>By contrast, electricity consumption by service industries \u2013 which the 2016-2020 plan aims to encourage \u2013 &nbsp;was up&nbsp;by 9.2%.<\/p>\n<p>However, household electricity demand rose 7.7%, a figure that suggests China will have to do more in improving efficiency and the use of smart grids and meters to curb the impact of new gadgets and appliances.<\/p>\n<p>Energy-hungry products such as refrigerators, air conditioners, cookers, tumble dryers and electronic gadgets&nbsp;have become increasingly affordable for China\u2019s middle class, and at a time of mass migration to its cities, which further stokes up demand for electric products. &nbsp;It should be said, though, that per capita electricity use in China is <a href=\"https:\/\/en.wikipedia.org\/wiki\/List_of_countries_by_electricity_consumption\">just a fifth<\/a> of that in the US for example. &nbsp;<\/p>\n<div>&nbsp;<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Decline in China\u2019s coal demand steepens as economy shifts from heavy industry\u00a0towards services, according to new official data<\/p>\n","protected":false},"author":1964,"featured_media":58847,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[761,757],"tags":[513,520,547],"hashtags":[],"country":[],"class_list":["post-34108","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-climate","category-energy","tag-carbon-emissions","tag-coal","tag-fossil-fuels"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.0 (Yoast SEO v26.0) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>China moves closer to \u201cemissions plateau\u201d | Dialogue Earth<\/title>\n<meta name=\"description\" content=\"Decline in China\u2019s coal demand steepens as economy shifts from heavy industry\u00a0towards services, according to new official data\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, 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