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China’s total electricity demand shows an overall 6.1% increase from January to September 2024, reaching 7,213TWh. In September alone China’s electricity demand reached 837TWh, +8.9% y-o-y. Of this 38% of the generation comes from zero emissions power, +12.9% y- Read more

During the first 8 months of 2024, China added 210GW of new capacity to the grid, a 14% y-o-y increase. August alone saw China add 25.1GW of new capacity additions. From January to August 2024, China spent RMB333bn (US$47bn) on power grid projects, a 19% y-o-y increase. In August alone, China invested RMB79bn (US$11bn) in the power grid. From January to August in 2024, China’s electricity demand increased by 7% y-o-y, reaching 6,456TWh. This is a sign of China’s continued economic resilience and as a result of the country’s continuous electrification-of-everything strategy. CEF expects China’s electricity demand to continue to climb in the coming decade. Read more

This July, China reached its 1,200GW of installed wind and solar capacity by 2030 target, 6 years ahead of time. As of the end of July CY2024, China has a total installed wind and solar capacity of 1,207GW. This early success could inspire other major powers to accelerate their renewable energy efforts, benefiting global climate goals. However, China must continue to focus on areas like energy efficiency and steel sector decarbonization, as well as address challenges such as grid connectivity and energy storage to sustain its progress. As China’s electricity demand grows, particularly with the ongoing electrification strategy, the need for increased power generation and grid modernization becomes more pressing. To meet its carbon targets, CEF estimates that China will need to add approximately 330GW of solar, 80GW of wind, and 4GW of nuclear capacity annually until 2040. Read more

During the first 6 months of CY2024, China installed a total of 152.8GW of new capacity additions, a 14% y-o-y increase. 134.5GW or 88% were zero emissions capacity, a 25% y-o-y increase. Although China’s thermal new additions during the first 6 months of CY2024 show a decline, CEF believes for China to reach its ‘dual carbon’ targets – peaking carbon emissions by 2030 and achieving carbon neutrality by 2060 – it needs to cease new thermal expansion as early as possible, even noting its orientation to new low utilisation, flexible coal plants. Read more

China will achieve its 1,200GW wind and solar installed capacity by 2030 target by end July 2024, six years ahead of schedule. 103.5GW of zero-emissions capacity was added during the first 5 months of CY2024, as thermal power additions declined by 45% y-o-y as the end of May CY2024 notwithstanding a still exceptionally strong +6.9% y-o-y YTD2024 increase in electricity demand. Read more

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During the first 4 months of CY2024, China added 79.7GW of zero-emissions new capacity, accounting for 90% of the net capacity additions. China added 76.9GW of wind and solar capacity from January to April, if this pace sustains or accelerates in the rest of the year, China will achieve its 1,200GW of installed wind and solar capacity by 2030 target this year, 6 years ahead of time. In March, China saw its CO2 emissions fall for the first time in the past 14 months. China’s thermal power generation increased 5.9% y-o-y during the first 4 months of CY2024, despite the massive expansion in renewable energy deployment. Biden’s 100% tariff on Chinese EVs might not be as effective as Chinese EV makers remain price-competitive even after the add-on tariffs, but Chinese EV leaders will renew their focus on other key markets like Brazil and Indonesia. The US’s 50% tariff on solar products hurts American consumers and slows down its national renewable energy development. Read more

During the first quarter of 2024 (1QCY2024), China added 69.4GW of new electricity capacity to the grid, with 91% of it being renewable energy. China is projected to exceed its 2030 target for installed solar and wind capacity six years early. The electricity generation mix shows a rising contribution from zero-emissions sources, with wind power surpassing hydropower for the first time. In the EV market, China remains the world’s largest, with nearly 1.9 million electric cars sold in 1QCY2024. Additionally, China’s solar manufacturing industry faces challenges due to overcapacity, although major players like Jinko Solar remain financially strong even as gross margins contract as solar module prices are now down 50% y-o-y. Read more

In 2023, China experienced a groundbreaking surge in renewable energy, installing 292.8GW of clean power, surpassing expectations. Solar capacity grew by an impressive 148%, with 216.9GW added, while wind power increased by 75.9GW. These achievements, constituting 52.4% of total installed capacity, drove China’s economic growth and decarbonising China’s job market. Challenges remain, including high reliance on thermal power, but China’s clean energy push sets a global example for sustainable development. Read more

China entered COP28 with greater climate ambition than anyone else in the room. China showcases its robust commitment to renewable energy with 82% of October’s 23.8GW capacity additions being zero emissions, primarily solar. Despite not joining the global pledge to triple renewable energy by 2030, China is on track to peak CO2 emissions soon. COP28 saw the start of the loss and damage fund, the total pledged amount to address loss and damage reached $656m, with Australia investing zero capitals. This is far from enough as the loss and damage in developing countries is already greater than $400bn per year and expected to grow. Read more

China’s renewables expansion remained strong in September, with 22.6GW of zero emissions capacity added. Hydropower continued to recover in September, reaching 139TWh, up 40.8% y-o-y. In contrast there was only a 2.8% y-o-y increase in thermal power capacity. This month saw China celebrates the 10th anniversary of the Belt and Road Initiatives (BRI) with a pledge of $107bn over the next five years. In the meantime, China’s massive scaling-up of solar manufacturing has changed global solar dynamics triggering a rapid price deflation of solar components and taking prices to record lows. Read more

China’s renewable leadership offers challenges and opportunities on the path to global decarbonization. In August 2023, China’s renewable energy sector gained momentum with increased hydropower generation after months of droughts. Solar and wind power continued to dominate new capacity additions. Zero emissions capacity is now accounting for 50% of China’s total installed capacity. While China prioritizes economic development over rapid fossil fuel phase-out, EU raises concerns about China’s renewable supply chain dominance due to China’s rapid renewable manufacturing expansion. Nonetheless, this presents an opportunity for emerging markets to accelerate their energy transitions. To meet global net-zero goals, China and other developed nations must invest in emerging economies. Read more