NEA 2021 Energy Work Plan has stricter energy decarbonization requirement

The key quantified climate and decarbonization targets in the 2021 Energy Work Plan include a reduction of the proportion of coal in primary energy consumption to less than 56%, an increase in the proportion of electricity in the final energy consumption to about 28%, and a 3% decrease in energy consumption per unit of GDP. The cumulative installed capacity of non-fossil power generation should reach roughly 1,100 GW, while wind power and solar PV should account for 11% of the country’s electricity consumption. Compared with the 2020 Energy Work Plan, the climate and decarbonization targets are strengthened, and the energy sector’s role in facilitating China’s carbon peaking and neutrality is clarified and emphasized in the 2021 plan.

 

Comparison of Energy Decarbonization and Low Carbon Development Contents between the NEA Energy Work Plan 2021 and 2020
Decarbonization Targets

 2021 NEA Energy Work Plan

 2020 NEA Energy Work Plan
Energy Structure
  • Coal consumption less than 56%
  • Ca. 200 TWh newly increased
  • Electricity accounts for about 28% of the final energy consumption
  

  • Coal consumption less than 57.5%
  • Ca. 150 TWh newly increased electrification electricity
  • Electricity accounts for about 27% of the final energy consumption

 
Renewable Energy
  • Non-fossil power generation capacity should reach ca. 1,100 GW
  • Wind power and solar PV consumption should account for 11% of nationwide energy consumption
  • Non-fossil power generation capacity should reach ca. 900 GW
  • Further increase clean energy including wind and solar PV’s consumption rate

 
Energy Efficiency
  • Reduction of energy consumption per unit of GDP by 3%
  • Further increase energy system efficiency
Low Carbon Development
Three suggestions for achieving carbon peaking and neutrality targets:
  • Rapid development of non-fossil fuel energy
  • Enhancing renewable energy consumption
  • Promoting clean and efficient energy use
  • Insist on clean and low carbon development as the principle. Insist on low carbon strategy, accelerate clean and high efficient use of fossil fuel energy, ensure rapid development of non-fossil fuel energy, continue to extend the proportion of clean energy consumption and promote the energy sector’s green and low carbon development.