Transcript China and Climate Change July 2013 - Yuhong Zhao

Mitigating Climate Change
-- From Commitments to Action Plans
Yuhong Zhao, Faculty of Law
The Chinese University of Hong Kong
I.
II.
III.
IV.
China and the Global Climate Regime
National Climate Policy and Action Plans
Clean Renewable Energy
Carbon Trade Pilot Schemes
I. China and Global Climate Regime
 Rio (1992), UNFCCC and Kyoto Protocol
 CBDR
 Annex I parties: quantified emissions targets;
 Non Annex I parties: communicate mitigation actions
 Copenhagen Conference (2009)
 China’s commitment: 40-45% reduction in carbon
intensity (CO2 emission per unit of GDP) by 2020
compared to 2005
 Cancun Agreement (2010)
 Green Climate Fund
 Technology Mechanism
I. China and Global Climate Regime
 Durban Conference (2011)
 Decide to adopt a universal legal agreement on CC
ASAP, no later than 2015, in force 2020;
 China: willing to be bound after 2020 subject to
conditions of funding & technology.
 Doha Conference (2012)
 Kyoto Protocol 2nd Commitment Period (2013-2020)
 Post 2020 regime: Durban Platform
 China (BASIC four): CBDR
II. National Climate Policy and Action Plans
 National Five-Year Socio-Economic Development Plans
(FYP)
 11th FYP (2006-10)
 12th FYP (2011-15)
 Climate Change Policy and Plans
 China’s National Programme on CC (NDRC, 2007)
 China’s Response to CC: Policies and Actions (State Council,
2008), annual reports
 Work Plan on Energy Conservation and Emission Reduction
in the 12th FYP Period (State Council, 2011)
 Work Plan on the Control of GHG Emissions in the 12th FYP
Period (State Council, 2011)
 Climate Change Law?
II. National Climate Policy and Action Plans
11th Five-Year Plan (2006-2010)
 Binding targets:
 Reduce energy consumption per unit GDP by 20%
from the 2005 level; and
 Reduce major pollutants (SO2 & COD) by 10% from
the 2005 level.
 Outcomes:
 Energy efficiency: 19.1%
 SO2: 14.29%
 COD: 12.45%
End of 2010: “power off” campaigns
II. National Climate Policy and Action Plans
12th Five-Year Plan (2011-2015)
Binding targets:
 Non-fossil fuel in primary energy consumption: 11.4%
(2010: 8%; 2020: 15%);
 Energy consumption per unit GDP: reduce by 16%;
 CO2 emission per unit GDP: reduce by 17%.
 Forest coverage: increase to 21.66% (2010: 20.36%)
 Forest stock volume: increase 0.6 billion m3 to 14.3
billion m3 (2010: 13.7 billion m3)
II. National Climate Policy and Action Plans
12th Five-Year Plan (2011-2015)
Part VI, Chap.21, Sec.1 Control of GHG emissions
 Substantial cut of intensity of energy consumption &
carbon intensity;
 Reasonable control of total energy consumption;
 Low-carbon technology: industry, buildings, transport
& agriculture;
 Low-carbon products: standards, labelling &
certification;
 Carbon emission trade.
III. Clean Renewable Energy
12th FYP (2011-15)
 Non-fossil fuel in primary energy consumption: 11.4%
(2010: 8%; 2020: 15%);
12th FYP on Energy Development (2013)
 Double control of energy consumption
 Total consumption in 2015: 4 billion tons coal
(equivalent) (2010: 3.25 billion, annual growth 4.3%)
 Energy efficiency in 2015: cut by 16% of 2010 level
 Energy mix in 2015:
 Coal: 65%
 Natural gas: 7.5%
 Non-fossil fuel: 11.4%
Primary energy world consumption
Million tonnes oil equivalent
BP Statistical Review of World Energy 2012
© BP 2012
Primary Energy Consumption (2012)
Based on data of BP Statistical Review of World Energy 2012
World
China
(2015)
Oil
33.1%
17.7%
Natural Gas
23.9%
4.7%
(7.5%)
Coal
29.9%
68.5%
(65%)
Nuclear Energy
4.5%
0.8%
Hydro-electricity
6.7%
7.1%
Renewables
2.4%
1.2%
(11.4%)
IV. Carbon Trading Pilot Schemes
NDRC Notice to Set Up Carbon Trading Pilot
Schemes (2011)
 5 cities: Beijing, Tianjin, Shanghai, Chongqing,
Shenzhen;
 2 provinces: Hubei, Guangdong
Implementation Plans:
 2012: Beijing, Shanghai, Guangdong;
 2013: Tianjin, Hubei, Shenzhen;
Operation:
 Shenzhen: 18 June 2013
IV. Carbon Trading Pilot Schemes
Shenzhen Pilot Scheme:
 Reasonable control of total energy consumption;
 Abate carbon intensity;
 Achieve total emission control of GHGs;
 Controlled units: key emission enterprises & units;
 Allocation: target of total emission control, state
industrial policy, actual emissions etc;
 3rd party audit: annual carbon emission report;
 Penalty: fine (3 times of the market price) on carbon
emissions in excess of permits;
 Open market: other units & individuals
IV. Carbon Trading Pilot Schemes
Shenzhen Pilot Scheme:
 Controlled units: 635 enterprises & public buildings
(38% of total carbon emissions of the city);
 Total allowances/permits: 100 million tonnes CO2e
for 2013-15;
 Next stage: transport (bus & taxi);
 1st trading day (18 June 2013)
 8 deals
 Total volume: 21,112 tonnes of carbon;
 Price: 28-32 yuan/tonne
IV. Carbon Trading Pilot Schemes
Shanghai Pilot Scheme:
 Industrial sources: emission over 20,000 tonnes
CO2e/year in 2010 or 2011 (steel, petrochemical,
non-ferrous metal, power generation, building
materials, textile, paper, rubber etc);
 Non-industrial sources: emission over 10,000
tonnes CO2e/year in 2010 or 2011 (aviation, port,
airport, railway, commercial, hotel, financial etc);
 Allocation: free for 2013-15; auction in due course;
 3rd party audit: annual emission report;
 Safety valve: gov’t retains/releases permits to
control excessive price volatility;
Conclusion
Post-2020?
 International Energy Agency, Redrawing the
Energy-Climate Map (2013): China’s CO2 emissions
growth of 300 Mt in 2012, smallest in a decade;
 Domestic studies: carbon emission peak in 2025?
 National carbon trading market: 13th FYP (20162020)
 Carbon tax
 Sino-US agreement to cut HFCs (2013): phase out
production & consumption of HFCs
Thank you!