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Medium and Long-Term Development Plan for Renewable Energy in China

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Medium and Long-Term Development Plan for Renewable Energy in China Medium and Long-Term Development Plan for Renewable Energy in China (Abbreviated Version, English Draft) National Development and Reform Commission (NDRC) People’s Republic of China September, 2007 Content table 1. PRESENT SITUATION ....................................................................................................................1 2. GUIDING PRINCIPLES ...................................................................................................................4 3. OBJECTIVES AND TARGETS.......................................................................................................5 4. PRIORITY SECTORS ......................................................................................................................6 5. NATIONAL POLICIES AND MEASURES ..................................................................................10 In order to speed up the development of renewable energy, promote energy conservation and reduce pollutants, mitigate climate change, and better meet the requirements of sustainable social and economic development, the Medium and Long- term Development Plan for Renewable Energy in China is formulated. It puts forward the guiding principles, objectives and targets, priority sectors, and policies and measures for the development of renewable energy in China up to 2020. 1. Present Situation 1.1 Resource Potential According to preliminary assessment, the renewable energy sectors with the greatest resource base and development potential in China are hydropower, biomass energy, wind energy, and solar energy. 1.1.1 Hydropower According to the results of the 2003 Nationwide Hydropower Resource Assessment, China’s total potential capacity of technically exploitable hydropower is 540 GW, with an annual power generation potential of 2470 TWh. The total potential capacity of economically feasible hydropower is 400 GW, with an annual power generation potential of 1750 TWh. These hydropower resources are distributed mainly in the nation’s western regions, with 70 percent of the total located in Southwest China. 1.1.2 Biomass Energy China’s biomass energy resources include mainly straw and other agricultural wastes, waste from forestry and forest product processing, animal manure, energy crops and plantations, organic effluents from industry, municipal wastewater, municipal solid waste (MSW), etc. Of about 600 million tons of crop straw produced every year, nearly 300 million tons (or around 150 million tons of coal equivalent (tce)), can be used as fuel. Of about 900 million tons of waste from forestry and forest product processing available every year, nearly 300 million tons (or about 200 million tce) can be used for energy production. In addition, there are large areas of marginal lands in China that can be used to cultivate energy crops and plantations. Biogas and MSW are also biomass resources with good potential for development. Presently, the nation’s total biomass resource that can potentially be converted into energy is about 500 million tce. With social and economic development, the biomass resource that could potentially be converted into energy is expected to increase to 1 billion tce in the future. 1.1.3 Wind Energy According to the most recent wind energy resource assessment, the nation’s exploitable potential onshore wind capacity is 300 GW. Together with offshore wind resources, the total potential wind capacity is about 1,000 GW. These resource are mainly distributed 1 in two major “wind belts”: the “Sanbei Region” (or “Three Norths Region,” which includes Northeast China, the north part of North China, and Northwest China), and East China (including coastal areas, offshore areas, and nearby islands). Aside from these, there are also some fragmented areas rich in wind resources distributed in some inland areas of China. 1.1.4 Solar Energy Two-thirds of China’s territory enjoys over 2,200 hours of sunshine annually, with total solar radiation per unit area of over 5000MJ/m2. These regions have favorable conditions for solar energy development, with extremely favorable conditions found in West China. 1.1.5 Geothermal Energy According to preliminary assessment, the geothermal energy resources spread across China are mainly of the low and medium temperature types, which are suitable for industrial-use heat, space heating, agricultural use, use in animal husbandry, etc. High temperature geothermal resources suitable for power generation are relatively less plentiful. They are mainly located in Tibet, Sichuan, and Yunnan and have a total potential power capacity of about 6 GW. According to preliminary estimates, the total exploitable geothermal potential in China is about 3.3 billion tce. 1.2 Present Situation With many years of development, very strong progress has been achieved in China’s renewable energy field. Hydropower has already become an important component of the power industry, while household biogas digesters are now being used extensively in rural areas. More recently, there has been notable progress in wind power, solar photovoltaic (PV) power, solar thermal conversion, and modern biomass energy applications as well, contributing greatly to the structural adjustment of China’s energy use, to environmental protection, and to speeding up social and economic development. In 2005, the total amount of renewable energy utilized (excluding traditional uses of biomass energy) in China was about 166 million tce, accounting for 7.5 percent of total national primary energy consumption. 1.2.1 Hydro Energy By the end of 2005, the total installed capacity of hydropower was 117 GW (including 7 GW of pumped storage hydropower plants), accounting for 23 percent of China’s total installed power capacity. The power generated by hydropower that year was 395.2 TWh, accounting for 16 percent of China’s total power generation. Of the total installed hydropower capacity, the installed capacity of small hydropower was 38 GW, with annual power generation of 130 TWh. 2 1.2.2 Biomass Energy (1) Biogas: By the end of 2005, the total number of household biogas digesters reached 18 million, with a total annual production of biogas of about 7 billion m3. About 1,500 large-scale biogas plants for livestock farms and for organic industrial effluent had also been built, producing about 1 billion m3 of biogas annually. Biogas technology has now advanced from the stage in which it was dedicated solely to energy utilization. It now enjoys multi-use application, including waste treatment and comprehensive use of biomass. Biogas is now widely integrated with animal husbandry and farming and has become an important means of developing eco-agriculture and strengthening the nation’s ecological and environmental development. (2) Biomass Power: By the end of 2005, the installed capacity of biomass power in China reached 2 GW. Of this, the power capacity from sugar cane residue (bagasse) was about 1.7 GW, with that from MSW incineration and land-fill gas power generation being about 200 MW. The rest of the afore-stated installed biomass power capacity was from gasification of agricultural or forestry (and forest product processing) wastes, such as rice husks. (3) Liquid Biofuels: China has already begun to use bio-ethanol as a transport fuel. In 2005, the production capacity for bio-ethanol using food grains as a feedstock was 1.02 million tons. In addition, the technology for producing bio-ethanol from non-food-grain feedstock has already reached the preliminary conditions needed for commercialization. The production capacity of bio-diesel made from waste edible oil from restaurants, edible oil residues from edible oil pressing factories, and edible oil-yielding crops reached 50,000 tons in 2005. 1.2.3 Wind Power By the end of 2005, more than 60 wind farms had been connected to the power grid in China, with a total installed capacity of 1.26 GW. There were also about 250,000 small wind turbines operating off-grid in remote areas of China. The total installed capacity of these was about 50 MW. 1.2.4 Solar Energy (1) Solar Power Generation: By the end of 2005, the total installed capacity of solar PV power in China was about 70 MW, most of which is used for supplying power to the residents of remote rural areas. The Township Electrification Program, implemented from 2002-2003, resulted in the installation of 19 MW of solar PV panels, providing relatively strong stimulation to the utilization of solar PV and to solar cell manufacturing in China. Apart from using solar PV to electrify remote areas and provide power for special applications (such as communication, navigation and transportation), China has now begun to implement BIPV (building-integrated grid-connected PV) demonstration projects. 3 (2) Solar Water Heaters: By the end of 2005, the annual production capacity of solar water heaters in China was 15 million m2. The total heat collecting area of solar water heaters installed to date in China had reached 80 million m2. 2. Guiding Principles The guiding principles of China’s medium and long-term renewable energy development will be to: (1) conscientiously implement the Renewable Energy Law; (2) adopt renewable energy development as one of the key strategic measures to achieve China’s goals of establishing a resource-saving, environmentally-friendly society and realizing sustainable development; (3) speed up the development and deployment of hydropower, wind power, solar energy, and biomass energy; (4) promote technical progress; (5) increase market competitiveness; and (6) continuously
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