Experts say the country is at the forefront of energy change

Industry experts say China is poised to provide effective solutions to the serious challenges of achieving the global energy transformation as the country continues to accelerate energy technology innovation.

China is already a pioneer in the global transformation of energy technologies, and the world’s second-largest economy is vigorously promoting the implementation of advanced technologies, which is conducive to the gradual maturation of related industries, said Lin Jianhai, vice president of the International Financial Forum and former secretary of the International Monetary Fund.

Lin said the huge scale of the Chinese market and its comprehensive industrial system have contributed to raising the overall development level of the energy chain and at the same time contributing to the global green transformation.

The speech came at the inauguration ceremony of the IFF Energy Transformation and Development Committee, a joint initiative of the IFF and the China Energy Construction Association (CEPCA), which was held in Beijing on Thursday.

In the energy supply sector, key technologies such as third-generation nuclear power have achieved breakthroughs. China is a world leader in areas such as photovoltaic conversion efficiency, ultra-high-voltage transmission technology and the hydropower industry. The industrialization of pioneering technologies such as new energy storage and hydrogen energy is also accelerating, he said.

However, Lin added that the global energy transformation still faces numerous challenges, such as financing gaps and insufficient coordination of industrial policies.

China has achieved remarkable success in energy transformation in recent years. Last year, installed renewable energy capacity exceeded 1.5 billion kilowatts, accounting for more than 50 percent of the country’s total installed capacity and historically exceeding installed thermal capacity, according to data released by the National Energy Administration.

The country was expected to account for more than half of the world’s new renewable energy capacity in 2023, it said.

The administration said further work is underway to accelerate grid construction and improve the country’s power transmission mechanism as China’s power grid faces growing stability challenges from the growing share of electricity generated from variable new energy sources.

As the share of renewable energy sources in power generation grows, the grid faces significant challenges in absorbing them, the release said.

To increase the grid’s ability to absorb energy from new sources, the administration has intensified efforts to accelerate the construction of grid projects.

This year, the government has prioritized the implementation of 33 key projects, including the Sichuan-Chongqing ultra-high-voltage AC power plant project, while accelerating the start of construction of 37 other key projects.

Du Zhongming, head of the NEA’s electricity office, said the NEA will work to improve the grid’s ability to flexibly adjust its electricity supply schedule and increase the possibility of sharing power across provinces.

According to a report published in June by the International Energy Agency, the average costs of global wind and solar projects have fallen by a combined more than 60 percent and 80 percent respectively over the past decade, largely due to China.

As reported, in 2023, China’s installed renewable energy capacity will surpass the total installed capacity in the rest of the world, making it the largest contributor to the development of the global renewable energy sector.