The Report Card: Targets and Achievements

By LÜ WENBIN

Solar street lighting in a new neighborhood in Wubao Township, Hami, Xinjiang Uygur Autonomous Region. China Foto Press

CONSERVING resources and protecting the environment is a fundamental state policy of China. Measurable targets and monitored results are key yardsticks for work in emission reduction and resource thrift.

Explicit Targets

In its 11th Five-Year Plan (2006-2010) China vowed to chop 20 percent off its energy consumption per unit GDP, and to cut its aggregate discharge of major pollutants by 10 percent by the end of the plan period.

In 2009 China committed itself to the target that by 2020 it would bring down its carbon dioxide emission per unit GDP by 40 to 45 percent compared with the 2005 level.

Setting clear goals for emission reduction is part of China’s efforts to transform its economic structure and development pattern, to escalate the construction of a resources-efficient and environment-friendly society, as well as to actively cope with climate change. This also demonstrates the resolve of the Chinese government to solve its resource and environment problems.

Preliminary Results

In recent years China has ratcheted up efforts to lower emissions and conserve resources, to noticeable effect. In 2009 China’s energy consumption per unit GDP fell by 15.61 percent from the 2005 level, carbon dioxide emission decreased by 1.13 billion tons, chemical oxygen demand (COD) shrank by 9.66 percent and the total sulfur dioxide discharge was down by 13.14 percent. This marks a reverse in the increase in energy consumption per unit GDP and emissions of major pollutants in the previous years that are attributable to escalated industrialization and urbanization.

In 2007 China established the National Leading Group on Climate Change headed by Premier Wen Jiabao. Besides, it has promulgated a number of documents on energy use, carbon emission and climate change, including the Comprehensive Work Plan for Energy Conservation and Emission Reduction, the China National Climate Change Program and the Decision to Enhance Energy Conservation.

The 11th Five-year Plan period ends this year. To make sure that the emission reduction goals for the period would be met, the Chinese government has launched more forceful measures. For instance, in August the Ministry of Industry and Information Technology released a list of 2,087 enterprises using outdated or energy-intensive facilities to be closed by the end of September.

In recent years China has focused its energy-saving and emission-cutting endeavors on the following 10 aspects:

1. Modifying the industrial structure. China has effectively checked the growth of industries with high energy consumption and emissions, through such methods as: raising the bar for energy conservation and environmental protection; adjusting tax rebate and tariff policies; and implementing discriminatory and punitive electricity prices and harsher punishment for regions and enterprises violating environmental protection regulations. In the first four years of the 11th Five-year Plan period China shut down 60.06 million kW of small coal-fired power generators, and closed factories using obsolete technologies and equipment. Their aggregated production capacity added up to 81.72 million tons of iron, 60.38 million tons of steel and 210 million tons of cement. Their closure saved 110 million tons of standard coal. By July 15, 2010, more technically outdated coal-fired power generation units with a combined capacity of 10.71 million kW were eliminated.

2. Commencing key projects. During the first four years of the 11th Five-year Plan period China allocated RMB 128.5 billion to finance 10 leading energy-saving projects, including sewage treatment facilities and conduit networks in cities and towns, water pollution prevention and treatment facilities along major rivers, and capability building for energy conservation and environmental protection. These measures cut coal demand by around 260 million tons, and expanded daily sewage treatment capacity by 45.6 million tons. Furthermore, 461 million kW of desulphurized generating units have been put into operation in coal-fired power plants.

3. Accelerating research and development of energy-saving and emission-cutting technologies and promoting their application. China has published an outline on policies for energy-saving technologies and a catalogue of key energy-saving and emission-cutting technologies. Special campaigns have been organized for relevant science and technology, and subsidies were created for energy-efficient products such as high-efficiency air-conditioners and motors, energy-frugal and new-energy cars, and low-energy light bulbs. In three years 360 million compact fluorescent lamps have found their way into Chinese households. Meanwhile, the government has promulgated policies on promoting energy performance contracting (EPC) and accelerating the development of energy-saving service industries.

4. Pressing on in top energy-intensive areas. China has demanded 1,000 energy-heavy enterprises to start energy auditing, make energy-saving plans and keep records on their energy efficiency rates. As a result, these enterprises have saved 130 million tons of standard coal. The northern provinces have introduced heat metering in residential buildings of 100 million square meters, and have renovated them for better energy efficiency. Energy-use supervision trials have been carried out in government offices and large public buildings. A low-carbon transport trial project involving 1,000 land and water transport companies was launched. And departments and organs of the central government took the lead in reviewing and improving the energy efficiency of their office buildings.

5. Driving the circular economy. Pilot projects have been launched based on a circular economy, together with a system of evaluation indicators. Measures have been taken to make better use of mineral gangue, solid industrial waste such as desulfurized gypsum, coal ash and coal gangue, as well as crop stalks. China is also working to encourage automotive parts remanufacturing, the retrieval of mineral resources from urban junk and exploiting kitchen waste as a new energy resource. A cash-for-clunker program has been introduced in some cities, giving subsidies on new energy-efficient cars and electric home appliances to purchasers who bring in their old ones.

6. Setting up an evaluation and accountability system. In 2007 the National Development and Reform Commission, the National Bureau of Statistics and the Ministry of Environmental Protection co-produced six documents on data collection, supervision and evaluation of energy conservation and emission reduction, which were approved by the State Council and circulated among central and local government departments. Since 2008 the state has actioned annual assessment of the results of energy saving and emission cutting by provincial governments. Local governments likewise set conservation and reduction targets for their subordinates, handing out sanctions or awards on the basis of their performance.

7. Using economic leverage to encourage energy conservation and emission reduction. Reforms have been carried out on resource products pricing, emission fees, and prices and taxes on oil products. Preferential policies are applied to electricity from flue gas desulphurization units. Awards are granted to enterprises’ renovation projects that target better energy efficiency. Preferential taxes are allowed for facilities that are energy- and water-use efficient and environmentally friendly, and to enterprises that make comprehensive use of resources.

8. Improving laws and regulations. A number of laws have been revised, including the Energy Conservation Law, the Law on Prevention and Control of Water Pollution, the Circular Economy Promotion Law, the Measures of Energy Conservation on Civilian Buildings and the Measures of Energy Conservation on Public Institutions. Mandatory national standards have been worked out for a range of energy-intensive products, major energy-using products and pollutant discharge.

9. Better enforcement of regulations and supervision. Special supervision and inspection campaigns are staged in energy- and discharge-intensive industries. Spot checks are made on the application of energy efficiency labels on energy-using products. Theme-specific actions are conducted to ensure a healthy environment for the public, including punishing enterprises that contravene emission laws.

10. Promoting public awareness. The state has announced an “All-people Drive on Energy Conservation and Emission Reduction.” One week in June is dedicated to the theme. The State Council proposed ten green ideas, like cutting out driving one day a week, and avoiding excessive air-conditioning. They advocated prudent consuming and living practices across society.