China's Rapid Renewable Energy Growth Driven by Ambitious Government Policies, says GlobalData
China's renewable energy capacity increased from 27.8 Gigawatts (GW) in 2001 to 183 GW in 2013, and alternative sources are expected to account for more than 20% of the country's total electricity generation by 2020, says research and consulting firm GlobalData.
The company's latest report* states that China's emergence as a major player in the global renewable energy industry, and the leading country in the Asia-Pacific region, has been accelerated by a combination of government encouragement and market guidance.
Harshavardhan Reddy Nagatham, GlobalData's Analyst covering Alternative Energy, says: 'Soaring energy demand, expeditious industrialization and international pressure to reduce greenhouse gas emissions have impelled China to increase its share of renewable energy.
'The country has introduced Feed-in Tariffs (FiTs) at the state and provincial level in order to promote the development of alternative energy, which has contributed to substantial capacity additions over the last decade, especially those of wind and solar power. This growth is expected to continue thanks to the government's ambitious targets for renewables.'
China is aiming to add 15 GW of solar Photovoltaic (PV), 5 GW of wind, 0.53 GW of geothermal and 3.3 GW of biomass power by 2015, according to GlobalData.
Nagatham continues: 'China's National Energy Administration planned investment of around $39.5 billion for the development of solar power between 2011 and 2015. The government instigated a number of major support measures, most notably the Golden Sun Program, the Building Integrated PV subsidy program, and FiTs for solar projects, such as the 'One Million Rooftops Sunshine Plan' in the Shandong province.
'Consequently, the Chinese government revised the target for the cumulative installed capacity of its solar power to 35 GW by 2015, a considerable increase from the original target of 21 GW set in 2012. This will also contribute significantly to the growth of PV installations in the near future,' concludes the analyst.
*Asia-Pacific Renewable Energy Policy Handbook 2014
This report presents an in-depth analysis of the renewable energy policies across the major countries in the Asia-Pacific (APAC) region, namely Australia, China, India, Japan, South Korea, Thailand, New Zealand, Vietnam and Taiwan. It provides the current and future renewable energy targets and plans along with the present policy framework, outlining major technology-specific policies and incentives in each of these countries.
This report was built using data and information sourced from proprietary databases, primary and secondary research, and in-house analysis conducted by GlobalData's team of industry experts.
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