Renewable Energy in China
Reading Notice from Knowldeg Wharton
Source:
http://www.knowledgeatwharton.com.cn/
Exploring alternative energy sources is not a luxury based on environmental concerns, but an absolute necessity to simply provide enough energy for China. According to Yang Fu Qiang of the Energy Foundation, if China uses only traditional energy sources, “it simply will not have enough energy capacity for its population.”
Chinese leaders have worked for years to address China’s rising energy needs.
Most famous of the efforts are the most notably in the Renewable Energy Law of 2006.
One provision in the law requires 15% of all energy consumed in China to be renewable by the year 2020.
It is a very ambitous goal.
Chi Zhang, chief Asia economist at BP China and a leading expert on renewables, notes that the Chinese government has a massive reserve of cash to fund the renewable energy initiative
China’s renewable energy sector is being driven primarily by public-sector spending
In China, you do not need to worry about efficiency [or lack of money]; you only need to worry about effectiveness.”
That is true, in China the big projects are always the will of the government, very good example is the Olympic game. Is it effective? Yes, is it efficient? No idea.
hydro, solar and wind are three core area of renewable energy.
Biological engery sources are not included.
China’s hydro energy future seems almost infinite
“Solar remains one of the most promising areas of clean energy for investors today,”
10 Chinese solar module manufacturers have been listed on the public markets within the past five years.
Examples:
Suntech’s IPO on the NYSE in December 2005, Trina Solar in 2006 and Yingli Green in 2007.
http://www.suntech-power.com/
(Some big German companies are going to invest huge solar farm in Africa to supply the energy for Europe, Siemens and RWE are among them).
Challenges faced by the solar engergy companies.
1. Sillicon is a key ingredient is quite limited.
2.Cost reduction and innovation
For wind engergy
China-based manufacturers and supplyers are attractive investment opportunities.
The amount of Investment
investment in China’s solar energy is expected to total US$55.9 billion over the next 15 years.
Investment at US$127.8 billion for large hydro and US$38.8 billion for small hydro by 2020.
Investment for wind engergy estimated at US$91.1 billion by 2020
China is a very promising market for developer of sustainble engergies in the future.
