Xi Likes the Wind
While China struggles with participation issues in what could be the world’s biggest carbon trading market, another “China biggest” is blowing in the wind.
2020 wind and solar installation figures totalled an addition of 120 Gigawatts, according to the National Energy Administration. To put that in perspective, that number alone is two-thirds of all U.S. installations to the end of 2019. Analysts are understandably agog, if not sceptical.
We’ll leave unravelling the mystery to the Scooby Doo gang, and stick to reading a signal amidst the noise.
“Whatever the true numbers are for 2020, one thing is certain,” says Jimmie Jeremejev. “China is all in on building out its sustainable energy infrastructure, and becoming a leader in green energy.”
As with all critical industries, foreign participation and cooperation is welcomed, however warily non-domestic enterprises eye that welcome mat for trap doors. European enterprises should keep in mind the recent EU-China Investment deal, granting China access to renewable energy in Europe. Conversely, foreign-invested projects are not required to have a Chinese person or entity as a majority shareholder, save in the nuclear sector.