Pressure on China to reduce energy intensity and address the environmental consequences of power production has led to new policies and programs to improve energy efficiency throughout the country. This, in turn, has resulted in exciting opportunities for business.
China is now at a pivotal point in building a more efficient energy sector, which has long had difficulties in keeping up with the country’s skyrocketing energy demand. As the world’s largest energy consumer, China is projected to consume more than twice as much energy as the United States by 2040. (U.S. Energy Information Administration 2013)
The impact of polluting power plants and inefficient use of electricity is creating significant health and environmental hazards along with serious economic repercussions. By implementing strategies and technologies designed to curb energy consumption, China can limit the economic and environmental costs of building new dirty coal power plants, while increasing system reliability and reducing pressure on commodity prices.
As a result China has set national standards for annual reductions in energy intensity in every province and has provided support from the Central Government for municipal pilot programs. Furthermore, the goals established in the 12th Five Year Plan sets ambitious plans for overall energy efficiency implementation to be raised by 38 percent by 2015.
From the outset, the Alliance has worked directly with the Chinese government at the national, provincial and municipal levels to help identify appropriate policies, and develop, promote and implement energy efficiency programs. For example, one of the first Alliance projects involved the design and implementation of a comprehensive Demand Side Management program with Jiangsu province.
Energy efficiency presents an unprecedented opportunity for foreign companies interested in operating in China. While the Chinese government has set very ambitious targets for energy efficiency and clean energy, there is a lack of capacity to achieve these targets. This opens up prospects for U.S. companies to promote services, products or technologies to help China achieve their energy efficiency goals and, at the same time, provide significant benefits in terms of greenhouse gas reductions.
To further its mission, the Alliance is supporting efforts by US companies to find business opportunities in China that would contribute to improvements in energy efficiency. In this regard, in May 2013 the Alliance became an official Export Promotion Partner of the U.S. Department of Commerce and an advisor to the China Greentech Initiative. The Alliance organizes events to improve understanding of doing business in China and to facilitate networking with decision makers and potential partners in China and the US.
Join the Alliance in promoting energy efficiency through partnership opportunities between the U.S. and China. Learn more on how to join us here