Xi Jinping, General Secretary of the Communist Party of China Central Committee and President of China emphasized on greater efforts to pursue the “high-quality growth” of the “new energy sector” to ensure the nation’s energy security and contribute to building a clean and beautiful world. Thus it has become a “new green chapter” of development, connectivity, production, prosperity and progress in China and its BRI members, which are felicitous.
Xi made the remarks while presiding over a group study session of the Political Bureau of the CPC Central Committee. He noted that energy security impacts China’s overall economic and social progress and development of clean energy and promotion of green and low-carbon transformation should be pursued for the betterment of the international community to cope with the looming threat of global climate change.
Xi chalked out that China is rich in wind power, photovoltaic and other resources and has huge development potential in new energy. The nation has now built the world’s largest clean power supply system and its new energy vehicles, lithium batteries and photovoltaic products are also highly competitive in the global market.
According to many published reports, China currently holds over 50% of the global market share for photovoltaic products, including more than 75% for photovoltaic modules, around 80% for solar cells, and over 95% for silicon wafers. It is also the biggest investor and manufacturer of solar and wind panels in the world. It is also the world’s largest automobile manufacturer for 15 consecutive years, becoming the world’s largest automobile exporter in 2023, with new energy vehicle mainly EVs exports reaching 1.2 million units, a year-on-year increase of 77.6%.
It seems that with a solid foundation in new energy development, China has become a key driver of global energy transformation and the fight against climate change and it’s both mega projects of the 21st century are making inroads in green energy transformation in its member countries reaching to 152 around the world instilling hope of green and smart living, bio-diversity, reduction of carbon footnotes and last but not the least carbon neutrality in the world.
According to data from the National Energy Administration, it witnessed an accelerated pace of green and low-carbon transformation in the country. The total installed capacity of renewable energy in the country reached 1.45 billion kilowatts in 2023, accounting for over 50% of the country’s total installed power generation capacity and historically surpassing that of thermal power.
Furthermore, the international competitiveness of China’s wind and photovoltaic industries has become increasingly prominent. China’s production of key components, such as wind turbines, accounted for over 70% of the global market, while the production proportion of polysilicon, silicon wafers, solar cells and modules in the photovoltaic industry all exceeded 80% of the global total.
While delivering a keynote speech, the Chinese President underlined the need to deal with the relationships between new energy and traditional energy, the government and the market as well as energy development and energy conservation which will definitely promote the high-quality development of new energy. He highlighted the importance of targeting globally cutting-edge technology in the energy sector, intensifying joint efforts in making progress in core technologies in key fields and enhancing the transformation and application of research achievements. He called for fostering industries associated with energy technology as new drivers for upgrading the country’s industries, thereby promoting the development of new productive forces.
Xi also featured the need to further develop the infrastructure network for new energy, advance the intelligent transformation of power grid infrastructure, and accelerate the construction of a charging infrastructure network to support the rapid development of new energy vehicles.
It is important to deepen international cooperation in new energy technological innovation, he said, urging efforts to promote international cooperation in the industrial chain of the new energy sector and build a new win-win model for green and low-carbon transformation. China should also actively participate in the reform of international energy governance, promoting the establishment of a fair, just, balanced and inclusive global energy governance system.
It is good omen that China and the Chinese private companies are striving hard to promote green technologies and projects under the CPEC in the country. Chinese solar solutions giant LONGi announced to achieve the magnificent goal of 2 gigawatts (GW) solar power generating capacity in Pakistan. With the help of more Chinese companies, it is highly likely that Pakistan’s solar energy market size is expected to grow from 1.3GW to 9.77GW in the coming years. Moreover, the Chinese EVs are making its inroad in the country and has launched many EV projects in the country.
In summary, evidently September 2021 marked a critical turning point when China committed to halting overseas financing for coal-fired power plants and promoting greener finance.
Afterward, China’s signal that it planned to increase green investment through the BRI could be a game-changer for the pace of renewables uptake worldwide. In this regard, the “Green Silk Road” as an integral part of the BRI is transforming countries, communities, nature and people alike around the globe.
The Green Investment Principles (GIP) for the BRI was launched at the end of 2018, establishing a structured approach for promoting environmentally responsible investment in countries and regions involved in the BRI. In 2021, China unveiled the Green Development Guidelines for Overseas Investment and Cooperation. These initiatives prioritize the mitigation of environmental challenges linked to overseas BRI ventures and supply chains, reaffirming China’s unwavering dedication to sustainability.
China has taken a proactive role by spearheading the establishment of the BRI Partnership on Green Development, a collaborative effort involving 31 nations.
China has dominated 60 to 80% of all major green technologies in the world, solar, wind, hydro, batteries, electric cars, and high-speed rail. Companies like Longi, BYD and CATL are the world leaders in their sectors, vividly reflecting China’s strong commitments towards green transformation in the world.
It is suggested that Chinese policy makers should consider launching joint “Green Bonds”, “Green Saving Certificates”, “Green People’s Partnerships Mechanism”, “Green Banking Channels”, “Green Talent Hunts Programs” and, importantly, “Green Advocacy Programs” to mature concept of green into reality, saving this planet, people and prosperity.
