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China’s national flag flutters in front of a coal-powered power station in Datong, in China’s northern Shanxi province on November 3, 2021. Photo: AFP

Climate change: China’s Xi Jinping affirms net-zero commitment while touting coal’s near-term value for energy security

  • Mention of China’s decarbonisation goal at the 20th party congress shows it has ‘high-level buy-in’, analysts say
  • Xi’s pronouncement that China must ‘establish the new before demolishing the old’ shows coal will continue to have a near-term role

China is taking a cautious approach to balancing its carbon-neutral commitment against the need for energy security amid an energy crisis globally and at home, according to climate analysts.

At the opening of the weeklong Chinese Communist Party’s 20th National Congress in Beijing last Sunday, President Xi Jinping addressed the need to push the country’s green development in a two-hour speech.

“We must speed up the green transformation, implement comprehensive conservation strategies, develop green and low-carbon industries, advocate green consumption, and promote green and low-carbon production methods and lifestyles,” Xi said.

China should actively and steadily accelerate the construction of a new energy system and actively participate in the global governance of climate change, he said.

People watch a screen showing China’s President Xi Jinping speaking during the opening session of the 20th Chinese Communist Party’s Congress, in Shanghai on October 16, 2022. Photo: AFP
This is the first mention at a party congress of China’s dual-carbon goals – to reach peak emissions before 2030 and net-zero emissions by 2060 – since Xi announced them in 2020.

“This is critical, indicating that they now have high-level buy-in,” said Kate Logan, associate director of climate at the Asia Society Policy Institute, in a note on Tuesday.

However, the mentions of low-carbon development were tempered by an emphasis on ensuring a steady energy transition, including the use of coal to avoid disruption.

Xi said that the country should adhere to the principle of “establishing the new before demolishing the old”, and use China’s energy endowments to strengthen the clean and efficient use of coal.

The principle of establishing a reliable, renewable-based energy system before cutting the use of fossil fuels is sensible given the current backdrop of global energy insecurity, according to Qin Yan, lead carbon analyst at data provider Refinitiv.

00:55

China-built clean coal-fired power plant in Dubai completed

China-built clean coal-fired power plant in Dubai completed

“Although the clean and efficient use of coal does imply that it may take longer to phase out fossil fuels,” she said.

China has suffered from several recent power crises, including a power shortage last autumn that led more than half of its provinces to halt production, and a power crunch in hydropower-rich Sichuan this summer, triggered by extreme heat and drought.

To alleviate such problems, Beijing has called on coal miners to boost production and allowed a small increase in imports of Australian coal. Chinese Premier Li Keqiang also announced a series of measures to support coal production, including an increase in new mines.

“China may currently be undergoing growing pains but is at the same time actually putting in the structural, economic and other shifts needed to make progress on climate and decouple its emissions from economic development,” said Logan.

With coal remaining in the energy mix in the foreseeable future, China will actively promote the use of carbon capture, utilisation and storage (CCUS) to help remove the emissions from coal consumption, according to Ren Jingdong, a deputy director of the National Energy Administration (NEA), at a press conference on Monday.

01:50

China scales back emissions target with half of new electricity use to come from renewables by 2025

China scales back emissions target with half of new electricity use to come from renewables by 2025

“Energy development must not only ensure security but also promote transformation,” he said. “We have explored a high-quality development path that prioritises ecology and is green and low-carbon.”

China will accelerate the development of renewables to support the buildout of a new energy system. Its total renewable energy capacity exceeded 1,000 gigawatts (GW) in 2021, nearly three times higher than a decade ago, according to Ren. China also ranks first in installed capacity of hydro, wind, solar and biomass power, and has built the world’s largest networks for electric vehicle charging and hydrogen refuelling, he added.

The buildout of a “new energy system” especially needs the support of provincial governments and key industries to implement the strategies mentioned by NEA, said Yuan Ying, chief China representative at environmental group Greenpeace East Asia.

“Building a new system with renewable energy as a core energy source is not just important for energy security, but is key for long-term security from the challenges that all of humanity now faces from the crises facing global biodiversity and climate,” she said.

Despite the continued use of coal, Beijing’s messages from the congress regarding climate change are assuring, suggesting that China’s attitude towards carbon neutrality remains unchanged, according to Qin.

“Carbon neutrality is related to the sustainable development of the Chinese people and the construction of a community of common destiny for mankind,” said Zhai Qing, vice-minister of the Ministry of Ecology and Environment in a press conference on Friday, quoting Xi. “This is not what others tell us to do, but we do it on our own initiative.”

As of June 2022, China has signed 43 agreements with 38 developing countries to collaborate in fields including photovoltaic power systems and new energy vehicles to help the countries improve resilience to climate change, Zhai said.

01:30

Tree-like pattern appears on dried-up lake bed in China where record heat and drought continue

Tree-like pattern appears on dried-up lake bed in China where record heat and drought continue

The United Nations COP27 Climate Change Conference next month in Egypt and the gas crisis in Europe due to the Russia-Ukraine war have both provided an opportunity for China to be more active in global climate negotiations, potentially steering the climate talks, according to Qin from Refinitiv.

However, Xi’s cautious phrase on Sunday still suggests a subtle shift away from its previous ambition of taking an active role on the global stage, according to Logan from the Asia Society Policy Institute.

“In the 2017 previous work report, we saw a mention of China wanting to lead globally in terms of guiding international cooperation and addressing climate change,” she said. “That has now disappeared. We see no active measures about China wanting to set the pace and the tone on international climate.”

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