Exercising Power: China’s Transition to Efficient, Renewable Energy

Abstract

China faces a doubly daunting transition in its energy system: to lessen energy demand from an industry-dominated economy, and to move away from coal-dominated energy supply. In the past decade, China has achieved notable reductions in energy intensity and became the world’s largest manufacturer of renewable energy technology. Yet much more is needed to ease energy consumption, decarbonize energy supply, and clear the air. This chapter argues that China’s central government is exercising and maintaining political power in the transition to sustainable energy by utilizing energy efficiency and low-carbon energy supply to deliver economic development and social stability. The chapter also examines challenges of local-level implementation and the need for significant reforms in the electric power sector.