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Taking charge makes energy savings easier

By Jason Mitchell
0 CommentsPrint E-mail Global Times, October 13, 2010
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From the purist's perspective, the notion of sustainability makes for a near-impossible pairing with developing countries such as China.

The chief engine of economic growth, with industrialization via conventional coal and gas-fired power generation, runs counter to still immature renewable energy technologies.

But China represents a paradox. It has high annual CO2 emissions but is, at the same time, willing to mandate, fund and enforce corrective change as national policy.

In essence, we are about to witness the efficacy of China's command-and-control environmentalism against the progress, or lack thereof, of Western democratic environmentalism.

With China adding more than 50 percent of the world's incremental power capacity since 2000, Western media often highlights issues such as trade protectionism of renewable technology or accusations of government subsidization that violate WTO free-trade rules.

These normative assumptions ignore headwinds that are unique to China such as its dependence on domestic coal for fuel. They overlook the important fact that Chinese net exports account for more than 20 percent of energy consumption, implying that developed countries which outsource their manufacturing to China are essentially exporting emissions on a penalty-free basis.

Fittingly, the topic of energy efficiency will take a prominent position in the new five-year plan, which will be announced in October. Developed countries would be wise to keep a watchful eye on China, as this will mark the largest-funded national program of its kind aimed at cutting greenhouse gas emissions and energy consumption per GDP.

The effects of industrialization have accelerated the promotion of energy efficiency up the Chinese economic and political agendas considering the environmental damage and pollution-linked deaths of past industrial expansion, not to mention the costs to the economy. Premier Wen Jiabao said as much in a speech in May, declaring resource conservation and environmental protection national priorities.

Certain areas of China are microcosms of environmental fallout. In a 2007 report, the World Bank estimated that pollution cost China 5.8 percent of its annual GDP while acid rain does 37 billion yuan ($5.55 billion) worth of crop and building damage.

The World Health Organization estimates China suffers 750,000 pollution-related deaths per year. With negative externalities like these, there is little time for US-style partisan positioning or a Copenhagen-like impasse.

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