China’s Clean Energy Expansion at Unprecedented Pace, Says International Energy Agency
China’s remarkable growth in renewable energy has positioned it as a global example, with solar PV installations last year matching the world’s total for 2022, according to the International Energy Agency (IEA). The IEA’s annual renewable outlook report, released earlier this month, highlights China’s dominance in solar manufacturing, contributing to an over 80% reduction in module costs over the past decade.
China’s Leadership in Renewable Energy
Heymi Bahar, a senior analyst with the IEA, commended China’s achievements, stating that it serves as “an example to the entire world.” The report reveals that China’s renewable energy capacity expansion in the previous year, driven by solar photovoltaic installations, equaled the total solar capacity added by the rest of the world in 2022.
China’s Influence on Solar Module Prices
China’s position as the leading producer of solar PV modules, manufacturing approximately 80% globally, has played a pivotal role in decreasing solar module prices. This decline, exceeding 80% over the last decade, has significantly benefited the global solar PV deployment.
Global Competition and Price Trends
While the United States, European Union, and India are striving to compete in solar manufacturing, China’s influence remains evident. Import data reveals a 76% reduction in Chinese solar module imports in the first half of 2023, showcasing efforts by other countries to bolster domestic production.
China’s Key Role in Global Renewable Energy Targets
The IEA report underscores China’s crucial role in meeting global renewable energy targets, with the nation accounting for nearly 40% of cumulative installed renewable capacity worldwide. It estimates that from 2023 to 2028, China will deploy almost four times more renewable capacity than the European Union and five times more than the United States.
China’s solar and wind capacity growth is propelled by supportive policies and the economic appeal of renewable technology. The report highlights that a significant portion of new wind and solar facilities in China provides cheaper power than existing fossil fuel plants. As China accelerates its renewable energy integration, the IEA emphasizes the need for a comprehensive regulatory and policy framework. The report encourages a market-oriented approach, as exemplified by China’s “green electricity certificate” scheme, which promotes renewable energy use and trading across provinces.
China’s commitment to renewable energy remains steadfast, positioning the country as a key player in the global shift towards sustainable and clean energy solutions.
Source：scmp.com
