China Releases New Guidelines on Renewable Energy Architecture

China Releases New Guidelines on Renewable Energy ArchitectureOn March 3, 2011, the Ministry of Finance and Ministry of Housing and Urban-Rural Development (MOHURD) published a circular on carrying forward renewable energy architecture, stressing broader reach and improved implementation at all levels of government.

Significant points of the March 2011 circular include:

  1. Promoting higher renewable energy production targets from solar, geothermal, and biofuel energy, and achieving a renewable energy consumption of 20 percent by 2020.
  2. Increasing renewable construction to 2.5 billion square meters by the end of 2015, thus providing alternative energy equal to 3,000 tons of coal.
  3. Focusing on and expanding renewable energy construction in rural areas – accounting for 10 percent in key areas – and encouraging implementation at the local level. Implementation stresses improving technical standards, infrastructure, and clean energy supply.
  4. Accelerating new and renewable technology use and application and increasing demands on technological standards, including promoting competition and enhancing system structure.
  5. Increasing development of green construction and conservation projects and providing subsidies for green city projects.
  6. Strengthening quality control and assessment as well as the inspection, operation, and management of building projects.
  7. Aiding local financial departments in maintaining a stable system and innovative usage of resources.
  8. Overall, attaching great importance to renewable energy efforts, from organization and leadership to housing construction, finance, and real estate, at both central and local levels. There should be a coordinated and unified effort to address these major issues.

The emphasis on clean, renewable energy seems to be a positive sign, but there are a number of concerns that will be explored in brief here.

First, these renewable technologies tend to be expensive and do not yield immediate energy resources like coal and oil; for the short- and medium-term, China will remain dependent on fossil fuels.

Secondly, many of these directives appear impressive and desirable in theory, but the problems of local implementation, accountability, and protection of local interests remain.

Thirdly, the role of citizen participation tends to be vague in official documents and was not clarified in the circular.

In this way, while the new circulars point to a continued awareness and renewed effort to tackle existing environmental and energy security issues, the crux of the seemingly promising plans, as often is the case, lies in the execution, implementation, and monitoring of these top-down initiatives.

In related news, China yesterday suspended approvals for new nuclear power plants, and has ordered comprehensive checks of existing facilities to close safety loopholes amid growing concern stoked by Japan’s growing nuclear disaster. China has 13 nuclear power reactors spread between four sites: Daya Bay, Ling Ao, Qinshan, and Tianwan.

The former two are situated by the coast in Guangdong Province, close to Shenzhen and Hong Kong, while the latter two are in Jiangsu Province.

For professional assistance in South China contact Rosario Di Maggio at rosario.dimaggio@dezshira.com or visit www.dezshira.com

Comments are closed

The Contributor

China Briefing hosts a wealth of business intelligence on legal, tax, and operational issues in China from a practical perspective. Knowledge, expertise and commentary for China Briefing is regularly contributed by Dezan Shira & Associates´ professional legal and tax staff. Currently located in Futian district, Dezan Shira & Associates has been assisting foreign companies in Shenzhen for 22 years.

    Connect with China Briefing:
  1. - Email: Click here

Have Your Say!

Where is your favorite holiday destination in SEA?

View Results

Loading ... Loading ...

  1. Etienne Ducrot: Hi, I’m interested to contact this Foundation. Do you know how? Thanks. Etienne
  2. Emma: Hi Jasmin, I’ve read your article about a new medical center opens in Nanshan at the end of this month....
  3. sherry lee: A simple story with great words…I love it.
  4. Evangeline: Awesome piece!
  5. Glenda: Hi there, I enjoy reading through your article post. I wanted to write a little comment to support you.