[3] Being a country that depends heavily on foreign petroleum import for both domestic consumption and as raw materials for light industry manufacturing, electrification is a huge component of the Chinese national energy policy.
[5]: 26 On June 19, 2007, the Netherlands Environmental Assessment Agency announced that a preliminary study had indicated that China's greenhouse gas emissions for 2006 had exceeded those of the United States for the first time.
The agency calculated that China's CO2 emissions from fossil fuels increased by 9% in 2006, while those of the United States fell by 1.4%, compared to 2005.
[7] The Initial National Communication on Climate Change of the People's Republic of China calculated that carbon dioxide emissions in 2004 had risen to approximately 5.05 billion metric tons, with total greenhouse gas emissions reaching about 6.1 billion metric tons carbon dioxide equivalent.
[20]: 167 Policymakers viewed emissions reductions and energy conservation as the highest priority environmental matters under the 11th Five-Year Plan.
[21] More demanding targets were set for the most developed regions and those with most heavy industry, including Guangdong, Shanghai, Jiangsu, Zhejiang and Tianjin.
[21] In a separate development, on January 13, 2012,[23] the National Development and Reform Commission announced that the cities of Beijing, Tianjin, Shanghai, Chongqing and Shenzhen, and the provinces of Hubei and Guangdong would become the first to participate in a pilot carbon cap and trade scheme that would operate in a similar way to the European Union Emission Trading Scheme.
[26][27] According to Global Energy Monitor, China's government has limited the hours of 40% of coal-fired power stations built in 2019, due to overcapacity in electricity generation.
[29]: 70 These measures contributed to electricity outages in several northeastern provinces in September 2021 and a coal shortage elsewhere in China.
[29]: 70 The National Development and Reform Commission responded by relaxing some environmental standards and the government allowed coal-fired power plants to defer tax payments.
This level of expansion represents the largest annual increase in coal capacity initiated by any country since 2015.
China became dependent on imported oil for the first time in its history in 1993 due to demand rising faster than domestic production.
This decision appeared to reflect a need to reduce the unsustainably high level of subsidies these fuels attract, given the global trend in the price of oil.
[36] CNPC, Sinopec, and CNOOC are all active in the upstream gas sector, as well as in LNG import, and in midstream pipelines.
[1] In May 2014 China signed a 30-year deal with Russia to deliver 38 billion cubic metres of natural gas each year.
[37] The Power of Siberia pipeline is designed to reduce China's dependence on coal, which is more carbon intensive and causes more pollution than natural gas.
[38] The proposed western gas route from Russia's West Siberian petroleum basin to North-Western China is known as Power of Siberia 2.
[46] China is undertaking substantial long-distance transmission projects with record breaking capacities, and has the goal of achieving an integrated nationwide grid in the period between 2015 and 2020.
This expansion led to a 2% increase in the world's coal fleet, primarily to enhance China's energy security.
Despite a global shift away from coal, this rise underscores potential conflicts with China's climate goals.
Additionally, coal capacity also grew in Indonesia and India, marking the first global increase outside China since 2019.
On February 7, a spokesman for the State Forestry Administration announced that 130,000 square kilometres (50,000 sq mi) would be devoted to biofuel production.
Under an agreement reached with PetroChina in January 2007, 400 square kilometres of Jatropha curcas is to be grown for biodiesel production.
[50] China's Sixth Five-Year Plan (1981–1985) was the first to address government policy support for solar PV panel manufacturing.
[13] After achieving less than half the 4% reduction in energy intensity targeted for 2006, all companies and local and national government were asked to submit detailed plans for compliance before June 30, 2007.
In August 2010, China announced the closing of 2,087 steel mills, cement works and other energy-intensive factories by September 30, 2010.
The factory closings were made more palatable by a labor shortage in much of China making it easier for workers to find other jobs.
[75] A State Council circular issued on June 3, 2007, restricts the temperature of air conditioning in public buildings to no lower than 26 °C in summer (78.8 °F), and of heating to no higher than 20 °C (68 °F) in winter.
[76] The Chinese results from the 1st Annual World Environment Review, published on June 5, 2007, revealed that, in a sample of 1024 people (50% male):[77] Another survey published in August 2007 by China Youth Daily and the British Council sampled 2,500 Chinese people with an average age of 30.1.