China's new carbon neutrality top-level design document lays the roadmap for the country achieving carbon neutrality in all sectors and fields,
So, this will affect ALL OF 🇨🇳social-economic and energy policies in next 40 years.
Xinhua news summarized FIVE key targets in the Top-level design doc:
🍀Green Low carbon circular development economic system
🏭Enhance energy efficiency
☀️Increase non-fossil share
📉Reduce CO2 emissions' level
🌲Improve carbon sinks
The official English version of Top-level design document is available now:
'Working guidance for carbon dioxide peaking and carbon neutrality in full and faithful implementation of the new development philosophy'
The doc set out key climate targets, broadly in line with what's announced last Dec., 14th FYP etc.
2025: Energy intensity -13.5%, CO2 intensity -18%
2030: CO2 intens. -65% vs 2005, 25% non-fossil, Wind&Solar 1200GW
The >80% non-fossil share by 2060 is NEW
In addition to above, Top-level design also mentioned absolute emissions:
'establish a system to control the total volume of CO2 emissions'
Since China will peak CO2 emissions before 2030, it is inevitable to switching from current intensity targets to Cap
On fossil-fuel consumption, the Top-level design doc stressed:
'strictly limit the increase in coal consumption over the 14th Five-Year Plan period and phase it down in the 15th Five-Year Plan period, when petroleum consumption will reach its peak plateau'
Law on Carbon Neutrality is mentioned too in the doc.
China will 'conducting research on formulating a specific law on carbon neutrality'
It also has a separate point on Green Finance (which shall come as part of the N doc)
and low-carbon Fund:
'We need to carry out exploratory work on establishing a national fund for low-carbon transformation. '
China's new top-level design of Carbon Neutrality framework stressed carbon pricing and carbon market:
-Set up a rational binding mechanism for carbon pricing
-Accelerate national ETS
-Carbon sink trading will be incorporated into #CNETS
China's new carbon neutrality top-level document may also imply further acceleration in power sector reform, following the recent power tariff reform on 12 Oct.
'advance market-oriented reforms in the electric power sector across the board'
The final point in #carbonneutral top-level design lands on oversight:
'All local authorities must build targets for CO2 peaking and carbon neutrality and incorporate them into their comprehensive assessment systems for economic and social development '
Overall, this is the new blueprint for China's 2030/2060 climate pledges.
It sets:
1 Guiding Principle
5 Working guidelines
measures in 10 areas
31 key tasks
It will be followed by Carbon Peak Action Plan and a series of sectoral roadmaps
So, China finally released the official top-level design of carbon peak and neutrality framework.
This does not contain new NDC or targets, but the significance of this top-level design is that it is the guideline for all upcoming climate policies:
The top-level design document has already been distributed to provincial governments late September for further implementation, and officially released on 24 October.
Check out @RefinitivCarbon media release by our analysts in Beijing:
Will China's current energy crunch affect its climate commitments?
2030/2060 pledge is now written in the top-level design, so unlikely to be impacted.
BUT with policymakers having to prioritize energy security at the moment, near term target could be...
At 9 Oct national energy commission meeting, premier Li stated 'Deep research and analyze carbon peak stepwise timetables & roadmaps whilst considering recent contradictions in power/coal supply demand'
🇨🇳 state planner NDRC released draft 'Guidelines on Speeding up New Types of Energy Storage (excl. pumped storage) Deployment'
That is tenfold increase in Battery Storage capacity from 2020 level of 3.3GW
The draft NDRC guideline states key targets:
2025: New Type of Energy Storage will evolve from initial commercial stage to large-scale deployment.
2030: Full market-based mechanism for Energy Storage 🔋, meeting needs in New Power System.
🇨🇳energy regulators pinned main measures to boost #EnergyStorage in draft guideline:
🔹Energy Storage sectoral Plan, with targets and key tasks in 14FYP and mid-long term
🔹🔋Technology progress
🔹Energy storage joins power market incl. capacity mechanism
How can China ensure the massive scale of Wind and Solar integrated into power system?
It is quite clear now that 'Provincial RE Quota Obligation' is the central mechanism to implement and facilitate RE integration, supplemented by Green Certificate etc.