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China’s huge renewable energy output on course to outpace coal by year-end

Published 16/07/2024, 12:55 pm
© Reuters.  China’s huge renewable energy output on course to outpace coal by year-end

China is on track to meet its end-of-2030 renewable energy target by the end of this month, a remarkable 6.5 years ahead of schedule.

The Asian giant is setting new records for solar and wind installations while scaling back its nuclear ambitions, says a new report by Sydney-based think tank Climate Energy Finance (CEF).

It’s outpacing other nations, including Australia, which is struggling to meet its renewable energy targets.

Stark contrast

China is installing at least 10 gigawatts (GW) of wind and solar capacity every fortnight – a pace equivalent to adding the generation capacity of five large-scale nuclear power plants every week.

In stark contrast, Australia's plan to build seven nuclear power plants would add fewer than 10GW of generation capacity by 2035.

Energy experts are now looking to China, historically a major emitter, for insights into rapid decarbonisation.

China’s clean energy transition is notable given its massive energy demands and reliance on coal.

Despite building dozens of coal-fired power stations to support its transition, China is also leading in renewables, with more than half of its installed capacity now from clean sources.

The caveat is that this only accounts for one-fifth of its actual energy output due to renewables' lower capacity factor compared to nuclear energy.

China's strategy to ensure a steady power supply still relies on a diverse portfolio of technologies.

Mix of technologies

While renewables like solar and wind have a lower capacity factor compared to nuclear power, China has been addressing this issue by integrating pumped hydro and battery storage into its grid.

Pumped hydro storage, for instance, is being installed at a rate of 1GW per month, a stark contrast to Australia's struggle with projects like the 2GW Snowy 2.0, which has been a decade in the making.

And despite the enormous shift towards renewables, the country has not completely abandoned coal.

It continues to build coal-fired power stations alongside its renewable energy zones to meet the growing electricity demand and ensure grid stability.

This approach has raised concerns, given China's substantial contribution to global greenhouse gas emissions.

That said, the China Energy Council estimates that renewable energy generation will surpass coal by the end of this year, which is an astounding shift in the country's energy landscape.

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